04 Oct LabMD Appeals Data Security Ruling As FTC Heads Deny Stay
Reposted from Law360, New York (September 30, 2016, 8:02 PM EDT) LabMD moved to bring its heated dispute with the Federal Trade Commission over the strength of the lab’s data security to the Eleventh Circuit on Thursday, the same day that the agency’s heads rejected the lab’s bid to pause pending the appeal their recent ruling finding the lab’s practices to be unreasonable.
In its highly anticipated petition for review, LabMD Inc. urged the appellate court to take a look at “all aspects” of the administrative proceeding that the FTC brought against the medical testing laboratory more than three years ago, which culminated with the commissioners issuing a final order in July that overturned their own administrative law judge in finding that LabMD’s data security practices had caused harm to consumers and directing LabMD to undertake a series of corrective measures.
Besides the final order, the lab also asked the Eleventh Circuit to review “all interlocutory orders, rulings and opinions.” The lab specifically drew the appellate court’s attention to more than two dozen developments in the complex dispute, including multiple refusals by the commissioners to toss the case and to disqualify FTC Chairwoman Edith Ramirez’s and the administrative law judge’s rulings on issues ranging from the lab’s bid to sanction the FTC for its handling of a patient data file that LabMD claims was stolen by cybersecurity firm Tiversa to fights over the admissibility of conversations that FTC attorneys allegedly had about the evidence.
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