News and Information
May 05, 2009
FTC Extends Start Date of ID Theft-Prevention Rule That Would Treat Lawyers As Creditors
The Federal Trade Commission has extended until August 1, 2009, enforcement of a Red Flags Rule that would require certain creditors — including lawyers — to develop and implement written programs to identify, detect, and respond to warning signs of identity theft.
The American Bar Association requested the extension so it could assess the FTC’s conclusion that lawyers should be considered creditors under the rule. The ABA also contends that the FTC template for complying with the rule should be circulated in advance so lawyers and law firms can prepare for compliance before enforcement begins. The template is not yet complete.
In an April 24, 2009, letter to the FTC commissioner, ABA President H. Thomas Wells Jr. said that the ABA had only that week learned of the effect of the rule on lawyers. The rule previously was scheduled for enforcement on May 1.
Comments on this matter should be directed to Karen A. Gould, executive director of the Virginia State Bar, at firstname.lastname@example.org or (804) 775-0501 (fax).
Description of Red Flags Requirements
FTC Decision to Postpone Enforcement
ABA Press Release
ABA Letter to FTC (PDF file)
Updated: May 05, 2009