FTC's Proposed Settlement With Dental Practice Software Provider Marks Latest Data Security Action Against A Product Supplier

On January 5, the Federal Trade Commission ("FTC") reached an agreement with Henry Schein Practice Solutions, Inc. ("HSPS") to settle allegations that HSPS misrepresented that its dental practice software provided industry-standard encryption for personal information and helped dentists meet certain regulatory data security obligations. The proposed settlement, which is now subject to a 30-day public comment period, would require HSPS to pay $250,000 and prohibit the company from misrepresenting the security features of its software. By agreeing to the proposed settlement, HSPS has not admitted to any allegations contained in the FTC's complaint. The FTC's action against HSPS reflects the agency's continued interest in the security of health information, as well as its growing focus on pursuing product manufacturers and software providers that allegedly expose personal information to a risk of unauthorized access. It also demonstrates the FTC's apparent view that