Current Events in April 2018

In a desperate bid to regain profitability a decade ago, airlines slashed services and added fees for things that once were free.

It worked, and now that airlines are back in the black, customer service in the skies is improving.

A year ago, Airlines For America (A4A) Vice President and Chief Economist John Heimlich said that airlines are now trying to gain passengers with low fares and service improvements, like adding more nonstop routes. He said the industry also increased the supply of scheduled seats at U.S. airports in markets large and small.

This week, United Airlines rolled out a new package of in-flight entertainment options. Passengers on flights equipped with Wi-Fi can purchase the DIRECTV package to view on their smartphones and tablets.

Using more personal devices

Since February, United says it has installed personal device entertainment onto more than 200 aircraft that previously only offered DIRECTV. Customers can now use a personal laptop, Apple iOS device, or Android device to access a library of complimentary movies and TV shows, in addition to having the opportunity to purchase DIRECTV to view live programming.

"Whether it is seatback on-demand, DIRECTV or personal device entertainment, we offer customers hundreds of hours of programming to enjoy during their travels," said Mark Krolick, vice president of marketing at United Airlines. "We're excited to expand our personal device entertainment offering, which has been a popular option amongst many of our customers who tend to bring their own devices when they travel."

Because so many travelers now watch content on their smartphones, United said it will distribute small cardboard stands to passengers during the peak summer travel months. The stands can hold a smartphone on the pull-down tray table, allowing for hands-free viewing.

Outlets for charging

The airline said it is also installing electric power outlets in aircraft seats to help passengers keep their devices charged. To learn what entertainment options will be provided aboard a particular flight, passengers can access an entertainment listings webpage.

Wall Street investors are not always happy when airlines plow profits back into improving service, believing they should be distributed to stockholders instead.

When TheStreet.com recently rated the top 10 airline stocks, Alaska Airlines, which is consistently rated among the best for customer service, didn't make the list.

Although Toys “R” Us has formally announced that it will be closing its U.S. stores, it seems that not everything is going wrong for the retailer.

While it couldn’t find an interested buyer in the U.S., there seems to be no shortage of candidates when it comes to its Asian business. The company reportedly received several bids of over $1 billion for that part of the company on Wednesday, according to the company’s lawyer Joshua Sussberg.

Potential buyers include several Chinese private equity firms, including the Fung Group – which currently owns 15 percent of the business as a local partner.

Company officials say they have received an $80 million commitment in incremental financing from noteholders to support operations abroad and boost liquidity. The move should help give stores the ability to build inventory in preparation for the 2018 holiday season.

The fall of Toys “R” Us

While brick-and-mortar retailers have been behind the eight-ball for some time, Toys “R” Us finally succumbed to the pressure back in September 2017 when it filed for Chapter 11 bankruptcy.

The company viewed the 2017 holiday shopping season as its last chance to return to profitability, with executives opting to hire thousands of seasonal workers at stores and distribution centers to handle the anticipated rush. Unfortunately, the needed sales never quite materialized, and the company announced in January that it was closing 180 stores.

With no buyers coming to the rescue, the company finally announced a complete shutdown of its U.S.-based business in March.

L.L.Bean of Freeport, Maine, is recalling about 600 Allagash fixed blade hunting knives with sheaths.

The knife blade can cut through the protective leather sheath, posing a laceration hazard.

The company has received three reports of the knife cutting through the leather sheath, resulting in minor cuts to consumers’ hands.

This recall involves the Allagash fixed blade hunting knife with sheath.

The sheath measures 7 inches long by 2 inches wide, is made of brown leather and contains white stitching down one side.

The knife blade measures 3.55 inches long by 1 inch wide, is made of stainless steel and is attached to a light brown handle.

L.L.Bean is embossed on the brown leather sheath and engraved on the top of the knife blade near handle on one side.

The recalled knife with sheath has the product identification number 501794 printed on the green box in which the knife is packaged.

The knife with sheath, manufactured in China, was sold exclusively at L.L.Bean stores nationwide, L.L.Bean catalogs and online at llbean.com from August 2017, to February 2018, for about $90.

What to do

Consumers should immediately stop using the knife with sheath, and cover and store in a safe area out of the reach of children. Contact L.L.Bean for a free replacement sheath. The firm is contacting all known purchasers directly.

Consumers may contact L.L.Bean at 800-555-9717 daily from 8 a.m. to 10 p.m. (ET) or online at www.llbean.com and click on Recall & Safety Info at the bottom of the page for more information.

The trade group representing wine and spirits wholesalers is proudly supporting autonomous vehicle technology, even if they don’t want to fully explain why.

The Coalition for Future Mobility, a lobbying group devoted to passing the AV Start Act, the automobile industry’s controversial answer to self-driving car regulation, announced last month that the Wine & Spirits Wholesalers Association of America (WSWA) is joining their effort.

The wine and liquor wholesalers make a somewhat unusual addition to the group of supporters, which is mainly comprised of tech and automobile companies. The latter industries have invested billions in testing autonomous technology and have an obvious financial interest in a bill that would expand autonomous testing across the country.

Consumer groups charge that the bill could also exempt autonomous cars from longtime vehicle safety standards and prevent consumers injured by the technology from suing. The consumer groups want to see significant changes to the bill before it passes, but the automobile industry and the coalition say they want the bill to pass in its current form.

Safety and increased profits

WSWA president Craig Wolf previously cited “safety” as the reason that his group was joining the car and tech industries’ campaign. “Safety is a constant concern for us,” he told the Washington Post. “When we see a new technology that could improve safety, we want to learn more about it and share our unique perspective.”

In an email to ConsumerAffairs, WSWA declined to comment further on their interest in self-driving technology.

Safety is certainly a laudable goal, but it may not be the only one. A report by Morgan Stanley found that ride-hailing apps like Uber are already linked to an increase in alcohol sales -- and the firm predicted that fully autonomous technology would make sales even better.

According to the Morgan Stanley analysts, self driving vehicles could generate an extra $56 billion for the alcohol industry, or a 0.8% increase over 10 years.

Groups support increased use of technology

Fully autonomous cars do not yet exist, meaning that people who work as testers or who simply own a Tesla equipped with “Autopilot” must not be impaired and must be prepared to take the wheel at any time, even when the car seems to be smoothly driving by itself.

In the future, analysts and robotics engineers hope that fully autonomous vehicles will allow people to act as passengers in their own cars. It’s for that reason that groups representing the disabled have also joined the automobile industry’s lobbying effort to support autonomous cars, as has the non-profit Mothers Against Drunk Driving.

“Autonomous vehicle technology — and other advanced technologies such as the Driver Alcohol Detection System for Safety, or DADS — hold incredible potential to completely eliminate drunk driving,” MADD says an online statement.

MADD has a history of taking policy positions that support equipping cars with technology to prevent drunk driving. Ignition interlocks that test the car owners’ breath for booze and screens that can read a driver’s Blood Alcohol Content (BAC) with the touch of a fingertip are two other proposals that the group formally endorses to reduce drunk driving deaths.

Meanwhile, consumer safety groups and a group of ten Democrat senators say that the legislation needs to be significantly reworked to address their safety and liability concerns.

Google has confirmed that it will be rolling out a redesigned version of Gmail in the coming weeks. The company says the update will feature a “fresh, clean look” and give users access to several new features, like Smart Reply, the ability to snooze emails, and offline support.

Leaked screenshots of the redesign obtained by The Verge show the company plans to let users choose from three different views. A compact view will look similar to the current version of Gmail but with less vertical whitespace; a default view highlights attachments such as images or documents; and a comfortable view doesn’t highlight attachments.

“We’re working on some major updates to Gmail (they’re still in draft phase),” a Google spokesperson said. “We need a bit more time to compose ourselves, so can’t share anything yet—archive this for now, and we’ll let you know when it’s time to hit send.”

New sidebar and tools

A major change to the forthcoming version of Gmail would be the addition of a new sidebar.

Sahil Bhutani saw a Google employee playing with the new design on public transport and told TechCrunch: “The left-side column was more like inbox.google.com and the right side was an enlarged version of Gmail. The color in the background had a blue-ish gradient. Every folder on the left had an icon just like Inbox and dividers to split the categories.”

Screenshots of the redesigned Gmail show that a smart reply feature for quickly answering emails without typing anything is on the way, as well as a snooze button for muting email threads in your inbox until you’re ready to reply to them.

For now, it’s unclear when the new version will launch. However, some have speculated that if it doesn’t happen in the next few weeks, the company may share more details about the redesign at Google I/O in May.

In a series of warning letters sent to six different companies, the Federal Trade Commission (FTC) noted that the practice of placing “warranty void if removed” stickers on consumer electronics is deceptive and illegal.

The letters were sent to six U.S. companies that market and sell automobiles, mobile devices, and video game consoles.

While the FTC didn’t say which major companies it contacted, products that come with “warning void if removed” stickers include the Sony Playstation 4 and Xbox One video game consoles.

Each of the warnings made it clear that “consumers must use specified parts or service providers to keep their warranties intact.”

"Provisions that tie warranty coverage to the use of particular products or services harm both consumers who pay more for them as well as the small businesses who offer competing products and services,” the agency said.

Meaningless and deceptive

Under the 1975 Magnuson-Moss Warranty Act, companies are prohibited from placing repair limits on warranties “unless warrantors provide the parts or services for free or receive a waiver from the FTC.”

Such statements may also be “deceptive under the FTC Act,” the agency concluded.

The FTC said the following service claims are in violation of the 1975 law:

• The use of [company name] parts is required to keep your … manufacturer’s warranties and any extended warranties intact.

• This warranty shall not apply if this product … is used with products not sold or licensed by [company name].

• This warranty does not apply if this product … has had the warranty seal on the [product] altered, defaced, or removed.

The agency has requested that all of the companies examine their promotional and warranty materials and make sure they neither state or imply that warranty coverage is only provided with the use of specific parts of services.

The Commission said it will review the companies’ websites after 30 days to ensure that any potential violations of the law have been amended. Failure to make proper revisions could result in legal action, it noted.

We know how hard it is to buy a home in today's market, with rising prices and declining inventories.

But it's no picnic for sellers, at least when it comes to opening their wallets. Yes, they likely stand to clear thousands of dollars on the sale, but that can sometimes obscure the costs of selling a home, which can be considerable.

Real estate marketplace Zillow and home service website Thumbtack have totaled up the expected and unexpected costs of selling a home and found the average seller will pay $18,342 in selling expenses.

The anticipated expense includes closing costs. If a full-commission Realtor is involved in the sale, the seller pays 6 percent of the sale price. Other closing costs may include paying a lawyer, local taxes, and fees to file assorted documents.

Closing costs

On a national average, home sellers pay $13,357 in agent commissions and closing costs, but that total is a lot more in the expensive housing markets on the coasts.

Zillow calculates closing costs on a median home in San Jose, Calif., one of the pricier housing markets, are nearly $75,000. But selling a median-priced home in Indianapolis costs a lot less -- $8,604 on average -- because homes there cost a lot less. Indiana has no transfer tax, which also helps to keep the cost down.

But closing costs aren't the only expenses a home seller faces. Zillow found that 78 percent of homeowners putting their houses on the market will make at least one home improvement.

Hiring a professional to perform basic seller prep projects like painting, staging, carpet cleaning, lawn care, and gardening costs an average of $5,000. Then, once a buyer has performed a home inspection, there could be other repairs or modifications required to close the deal.

"Even in the hottest housing markets in the country, selling a home takes time and costs money," said Jeremy Wacksman, Zillow's chief marketing officer. "From decluttering and staging to pre-inspections, agents and homeowners often spend months behind the scenes prepping a home – well before it's listed on the market."

What to do

Wacksman's advice? Before listing your home for sale, do some research to determine what costs you may be responsible for and how they could affect your profit or budget for your next house.

Carefully consider the cost of any improvement you think will make your home more attractive to a buyer. Real estate experts say most buyers these days want a home in "move-in" condition, so improvements should be focused on painting and flooring and repairing things that are broken.

However, major upgrades usually don't pay for themselves in a home sale transaction. It's often more cost effective to lower your price slightly than remodel a kitchen or bath.

A federal lawsuit filed by the City of Birmingham Relief and Retirement System accuses Netflix of rigging its executive bonus program so that “multi-million dollar windfalls” could be awarded to some of its top executives.

The lawsuit alleges the Netflix board “rigged the compensation process, guaranteeing Netflix officers huge cash payments while misleading investors into believing that these payments were justified by attainment of real performance goals”.

The suit claims the company awarded unwarranted compensation to top management in order to take advantage of a prior tax loophole, which stated that bonuses for employees earning a salary of more than $1 million must be performance-based in order to qualify for a federal tax deduction. Performance-based tax deductions were eliminated under the new tax law.

$18 million paid to top executives

Netflix’s board of directors reached their goals in seven out of eight quarters leading up to July 2017. The suit alleges that the milestones were either changed or managed to make them easier to achieve.

The lawsuit referred to the behavior of missing just one percentage point in the other quarter as “artificial precision.” Top members of the board were paid approximately $18.73 million out of the $18.75 million set aside in a target pool.

The four executives named in the lawsuit are: chief content officer Ted Sarandos ($10.5 million), former chief product officer Neil Hunt ($12.5 million), current chief product officer Greg Peters ($3.2 million), and general counsel David Hyman ($800,000).

The lawsuit is asking for damages and a new system of corporate governance to prevent another violation of board members’ fiduciary responsibilities. The suit also demands the executives give back “all compensation and remuneration of whatever kind paid by Netflix” that is determined to be unlawfully gained.

“We intend to respond to these claims at the appropriate time,” a Netflix spokesperson said in a statement.

In appearances on Capitol Hill this week, the acting director of the Consumer Financial Protection Bureau (CFPB) is urging Congress to take steps that critics say would reduce the agency’s ability to protect consumers.

In an appearance before the House Financial Services Committee, Mick Mulvaney, who also serves as the Trump administration budget director, elaborated on his written report to Congress and denied charges by Democratic lawmakers that he's trying to wreck the agency he leads.

However, a report by The Wall Street Journal says Mulvaney has floated the idea of changing the structure of the CFPB, turning it into a bipartisan commission that would make it more akin to the Federal Trade Commission (FTC). The FTC is run by five commissioners, made up of both Democrats and Republicans.

According to The Journal, Mulvaney believes replacing a single director with bipartisan commissioners would prevent "wild swings" in policy whenever there is a change in administration.

Many consumer advocates contend that the CFPB was established to protect consumers from financial abuses, and its structure is designed to shield it from political pressures. The agency is funded by the Federal Reserve, not Congress, so lawmakers can't reduce funding if the CFPB takes action lawmakers don't like.

'Lack of accountability'

But Mulvaney argues that the agency’s independence is actually a lack of accountability. In testimony before the House panel, Mulvaney argued that the CFPB should operate with more transparency and accountability.

"It is not designed structurally to be accountable," Mulvaney said in his opening statement. "It's not accountable to anybody other than itself."

Mulvaney not only wants Congress to approve funding for the agency, he wants lawmakers to also approve major rules the CFPB makes.

Mulvaney-monitoring website

Consumer groups, which championed the establishment of an independent federal agency with the sole mission of protecting consumers, have reacted with horror as Mulvaney -- who they say was illegally appointed in the first place -- has taken actions they say have weakened the consumer agency.

The Center for Responsible Lending (CRL), Allied Progress, and Americans for Financial Reform, have launched a website, ConsumersUnderAttack.org, to document the changes at the Mulvaney-led agency they say are hurting consumers.

"The website provides an accessible resource for people to see how Mick Mulvaney, the ‘Acting Director’ of the Consumer Financial Protection Bureau, is severely weakening consumer financial protections," said Debbie Goldstein, CRL's executive vice president.

Goldstein said President Trump should nominate a permanent CFPB director who will "faithfully fulfill the mission of the Consumer Bureau."

In a state with a history of water quality issues, locals are questioning why Nestle will soon be able to speed up its bottled water operations.

The Michigan Department of Environmental Quality recently decided to grant a permit allowing Nestle to increase the amount of groundwater it pumps from a well in the Osceola Township.

Nestle, which sells bottled water under its Ice Mountain brand, currently has 50 water bottling plants across the state and pumps an average of 250 gallons per minute from the well in Osceola. In its permitting application, Nestle had requested to collect water at an even faster rate -- 400 gallons per minute.

The corporation, which makes billions from bottled water sales, only pays local officials $200 for permission to use their water, according to a Bloomberg News report published last year.

Nestle has defended its presence in the state, where the town of Flint continues to suffer from lack of access to clean water, by pointing to the jobs its plants create.

Public backlash

Nestle’s request to increase production sparked a massive backlash from locals, with over 80,000 people filing public comments to Michigan authorities urging them to reject the proposal; letters from nine tribal governments and eight citizens groups also urged action against the permit.

By contrast, only 75 comments were submitted in support of Nestle’s request.

Environmental groups blasted the state’s decision to side with the minority of people who submitted public comments, noting that Nestle pays limited costs for permission to use the water.

“Michigan residents are putting up with unaffordable and sometimes unsafe drinking water, while Nestlé, which had sales of $7.4 billion from water alone in 2016, pumps Michigan groundwater basically for free,” the Upper Peninsula Environmental Coalition told a local news station.

Michigan’s authorities had already suggested last month that they would side with Nestle, claiming that the concerns presented by residents, even if valid, did not take the law into account.

“We don’t have the power to say no arbitrarily. We can’t just say no for reasons that aren’t attached to the law,” Matt Gamble, a Department of Environmental Quality supervisor for the state, told Michigan Public Radio last month.

Application complied with state laws

Officials for the township and the county have also tried to fight Nestle’s permit, but the company appealed and won a key ruling last year from a local judge.

In a statement to the Detroit Free Press, the Michigan Department of Environmental Quality director Heidi Grether said that Nestle had a thorough application that complied with state laws.

“The scope and detail of the department’s review of the Nestlé permit application represents the most extensive analysis of any water withdrawal in Michigan history,” she told the paper.

“We are hopeful that whether residents agree with the Nestlé permitting decision or not, they will acknowledge and respect the work that MDEQ staff did to thoroughly and conscientiously apply the law in reviewing the permit.”

This week's consumer price report from the Bureau of Labor Statistics shows prices of used cars actually went down in March, making them an even better deal for car shoppers.

Since new car prices continue to rise, consumers seeking a comfortable and reliable ride can save thousands by shopping for a late model used car. And because automotive quality has increased in recent years, there are more attractive options.

"Because in-car technology is evolving so quickly and the price of new cars continues to climb, one way that shoppers can get new-car features at a used-car price is with certified pre-owned," said Brian Moody, executive editor for Autotrader.

Top used car picks

Moody says several manufacturers are offering special deals for their certified pre-owned (CPO) vehicles this month. Here are some of his top picks:

BMW

BMW's CPO program offers one year and unlimited miles of additional warranty coverage, beyond the 4-year/50,000 mile factory warranty period. It also offers financing incentives through the end of April to qualified buyers, with 0.9 percent interest for up to 24 months.

Cadillac

Through the end of May, Cadillac has specials on its ATS, a sporty compact coupe, and the Escalade, a full-size luxury SUV. Qualified shoppers can finance certified pre-owned versions of both the ATS and the Escalade with 2.9 percent interest for up to 60 months.

Jaguar

Autotrader singles out the Jaguar deals as among the best in the industry. The automaker provides seven years or 100,000 miles of warranty coverage, as well as financing deals ranging from 0.9 percent to 2.9 percent.

Land Rover

Land Rover's certified pre-owned program also offers seven years or 100,000 miles of comprehensive coverage from the original sale date, for purchases made in April. Its financing offers are similar to Jaguar's.

Lincoln

Lincoln's CPO program offers six years or 100,000 miles of comprehensive coverage from the original sale date. Through the end of June, qualified buyers can get a 2.9 percent auto loan for up to 66 months.

Toyota

Toyota is offering qualified buyers one year of comprehensive coverage and up to seven years of powertrain coverage from the original sale date. This month, it's also offering a 1.9 percent interest rate on all CPO Camry models for up to 36 months, for qualified buyers.

“Certified” vehicles

It's important for consumers to understand what exactly makes a pre-owned vehicle "certified." In general, these are late model cars with low mileage and no record of significant damage. In many cases they are coming off three-year leases.

These are vehicles the manufacturer resells through its dealers instead of at auction, and it will usually provide additional warranty protection. Deals may also include perks provided to new car buyers, such as free maintenance and roadside assistance.

J.T.M. Provisions Company of Harrison, Ohio, is recalling approximately 14,525 pounds of fully cooked not shelf stable pulled barbequed beef.

The product may be contaminated with extraneous materials -- specifically pieces of rubber.

There have been no confirmed reports of adverse reactions.

The the following item, produced on September 23, 2017, is being recalled:

• 14-oz. sealed plastic tray covered with a paper sleeve containing pulled (shredded) barbequed beef labeled “Bar-B-Q Sauce With Pulled Beef” with Julian pack date 17266 printed on the label.

The recalled product, bearing establishment number “EST. 1917” inside the USDA mark of inspection, was shipped to retail locations in Indiana, Kentucky and Ohio.

What to do

Customers who purchased recalled product should not consume it, but discard it or return it to the place of purchase

Consumers with questions about the recall may contact Joe Maas at (800) 626-2308.

BRP U.S. of Sturtevant, Wis., is recalling about 8,300 model year 2017 Can-Am Outlander and Outlander Max All-Terrain Vehicles (ATVs)sold in the U.S. and Canada.

The dynamic power steering shaft can break and result in a loss of steering control, posing a crash hazard to consumers.

The firm has received 13 reports of broken steering shafts worldwide -- two of them in the U.S. No injuries have been reported.

This recall involves model year 2017 Can-Am Outlander and Outlander Max all-terrain vehicles equipped with a dynamic power steering (DPS) and a 450 or 570 engine. The vehicles were sold in various colors.

The model name is printed on the side panels of the vehicles. The vehicle identification number (VIN) is printed on the frame under the seat in the middle and on the frame behind the right front wheel.

The ATVs, manufactured in Mexico, were sold at Can-Am dealers nationwide from June 2016, through December 2017, for between $6,000 and $9,750.

What to do

Consumers should immediately stop using the recalled vehicles and contact a BRP Can-Am ATV dealer for a free repair. BRP is contacting all known purchasers directly.

Consumers may contact BRP toll-free at 888-272-9222 from 8 a.m. to 8 p.m. (ET) Monday through Sunday or online at www.can-am.brp.com for more information.

Mercedes-Benz USA (MBUSA) is recalling 57 model year 2018 AMG GT, AMG GT C, GLC43 AMG 4Matic, GLC300, GLC300 4Matic and GLC350e 4Matic vehicles.

The housing for the front driver-side airbag inflator may have been made with defective steel.

In the event of an airbag deployment, the defective steel may cause the inflator to improperly inflate the driver-side air bag and potentially rupture, resulting in serious injury or death to the driver or occupants.

What to do

MBUSA will notify owners, and dealers will replace the front driver-side airbag module, free of charge.

The recall is expected to begin May 29, 2018.

Owners may contact MBUSA customer service at 1-800-367-6372.

Mark Zuckerberg’s “I’m Sorry 2018” tour played to an SRO crowd on Capitol Hill on Tuesday with the Facebook honcho taking all the punches he could withstand and promising all the privacy changes he could muster up.

Zuckerberg’s nearly four-hour Q&A match with 42 Senators focused on his company’s repeated privacy missteps and its breakdown in detecting the Russia-led crusade to influence U.S. voters.

“We were too slow to spot and respond to Russian interference, and we’re working hard to get better,” said Zuckerberg in a prepared statement.

“Our sophistication in handling these threats is growing and improving quickly. We will continue working with the government to understand the full extent of Russian interference, and we will do our part not only to ensure the integrity of free and fair elections around the world, but also to give everyone a voice and to be a force for good in democracy everywhere.”

Not so fast, Facebook

However, despite Zuckerberg vowing transparency and verification rules to protect its business and its flock, there were two Senators already loaded for bear, introducing a privacy bill of rights to protect the personal information of all American consumers, not just Facebook’s.

Senators Ed Markey (D-MA) and Richard Blumenthal (D-CT) put into play a bill -- tagged CONSENT (Customer Online Notification for Stopping Edge-provider Network Transgressions) -- that would make “opt-in” the default option for whether users want their information collected or repurposed in any shape, form, or fashion.

While Facebook has offered its users the option to “opt-out” on the data it collects since 2010, it’s likely that most consumers never really paid attention to what information they were giving away until now.

“The startling consumer abuses by Facebook and other tech giants necessitate swift legislative action rather than overdue apologies and hand-wringing,” said Senator Blumenthal. “Our privacy bill of rights is built on a simple philosophy that will return autonomy to consumers: affirmative informed consent. Consumers deserve the opportunity to opt in to services that might mine and sell their data – not to find out their personal information has been exploited years later.”

Making privacy the king

In hopes of reversing a platform such as Facebook’s power over a user’s personal info, the CONSENT Act:

• Requires edge providers to obtain opt-in consent from users to use, share, or sell users’ personal information

• Requires edge providers to develop reasonable data security practices

• Requires edge providers to notify users about all collection, use, and sharing of users’ personal information

• Requires edge providers to notify users in the event of a breach

• Ensures that requirements are enforced by the FTC

This bill covers every conceivable corner of a user’s potentially sensitive information, too. Included are restrictions on:

• financial information

• health information

• information pertaining to children

• Social Security numbers

• precise geolocation information

• content of communications

• call detail information

• web browsing history

• application usage history

To prove their seriousness, Blumenthal and Markey built some legal weight into their proposal by treating any violations of the measure as an infraction of the Federal Trade Commission Act. That act was created with the sole objective of "protect[ing] the process of competition for the benefit of consumers, making sure there are strong incentives for businesses to operate efficiently, keep prices down, and keep quality up.”

The Federal Trade Commission Act also has the power to protect privacy, giving the FTC the permission to penalize companies that violate their own policies through false advertising and other actions that can harm consumers.

Bank of America is the latest major bank to pull back from clients who produce military style rifles for civilians, such as the AR-15.

The revelation came Tuesday as a Bloomberg television crew interviewed the bank's vice chairman, Anne Finucane.

"For us, we have just a handful of (gun) manufacturers," Finucane said. "They know what our intentions are, we have had intense conversations over the last few months, and it's our intention not to finance these military style firearms for civilian use."

Currently, Bank of America has client relationships with Vista Outdoors, Remington, and Strum Rugar. Finucane's announcement follows a similar decision by Citigroup.

Withdrawing credit from gunmakers that produce so-called assault-style rifles will likely affect many firearms manufacturers because the semi-automatic AR-15 is one of the most popular rifles in America, with just about every gun manufacturer producing a version of it.

Popular with consumers

The AR-15 has been the major focus in the gun debate because it has been the weapon of choice for most mass killers, mainly because it quickly fires a large number of rounds and is easily reloaded.

The firearm is popular with consumers for the same reason. The National Rifle Association (NRA) says the AR-15 is widely used for home defense, calling it easy to learn, easy to use, accurate, and reliable. The organization says rifles of any kind are seldom used to commit crimes.

Both Citigroup and Bank of America have responded in the wake of the most recent mass shooting, when 17 people were killed earlier this year at a Florida High School by a killer wielding an AR-15, a civilian version of the M-16 rifle used by the U.S. military.

BlackRock, the largest asset manager on Wall Street, has served notice that it plans to use its financial clout to influence gun manufacturers. BlackRock currently owns 16 percent of Strum Ruger and 10.5 percent of American Outdoor Brands, according to CNBC.

In January, BlackRock founder Larry Fink wrote an open letter to CEOs at major corporations, telling them they have to be socially responsible.

"Indeed, the public expectations of your company has never been greater,” he wrote.

Not long after going public, Spotify may be planning changes to its free subscription tier.

Sources familiar with the matter told Bloomberg that the music-streaming giant is planning to change its free tier to be more like its paid subscription service. The new version of the app will make it easier to use the ad-supported service on mobile devices, according to the report.

An official announcement regarding the planned update is expected in the next few weeks.

Greater control

The rumored changes would give mobile users with free plans the ability to access playlists more quickly and have greater control over what track or playlist they’re listening to. Currently, Spotify’s free tier prevents mobile users from selecting specific tracks in a playlist; users listen to whatever track comes next in shuffle mode.

Spotify went public on April 3 and is expected to focus on growing its number of users. Making the free music-streaming experience better would help it do just that.

Spotify is available in 61 countries and has a user base of 159 million, including ad-supported free listeners. The service also has 70 million paying subscribers (as of January 2018). The company predicts that it could hit as many as 96 million paid subscribers by the end of this year.

The company’s rival Apple recently confirmed that Apple Music has amassed approximately 40 million subscribers. Unlike Spotify, Apple’s music streaming service does not offer a free tier.

Consumers may find clothing, self storage, and even groceries in spaces once occupied by Sears. The struggling retailer is reportedly auctioning off several of its recently-closed locations in an effort to raise much-needed cash.

A report by The Wall Street Journal says a commercial real estate firm has been retained to sell about 16 Sears locations in an online auction. According to CNBC, most are part of shopping malls located in Texas, Missouri, Indiana, Ohio, and Michigan.

Sears did not immediately respond to media queries for comment.

Sears' loss may be other retailers' gain

While brick and mortar retail is generally struggling, businesses moving into a former Sears location may achieve increased visibility, since Sears was often able to secure prime locations.

Last week, the Pennsylvania Real Estate Investment Trust (PREIT) announced it was opening an 8,500-square foot Five Below store and a 20,000-square foot HomeGoods at a mall in Florence, S.C., in space formerly occupied by Sears.

Sears Holdings, which also operates Kmart, has been closing stores in an effort to reduce losses and return to profitability. A year ago, it shuttered 150 Sears and Kmart stores, sold off its high-profile Craftsman Tool line, and targeted 50 Sear Auto Center and 92 Kmart pharmacies for closing.