FTC issues order against Drizly, CEO over 2020 breach

The U.S. Federal Trade Commission announced an enforcement action against online alcohol marketplace Drizly and its CEO James Cory Rellas related to data security issues that led to a 2020 data breach involving 2.5 million customers. The order calls on Drizly to destroy unnecessary data and requires implementation of data minimization and information security programs. Rellas will be bound to the enforcement action in any new position or venture beyond Drizly. FTC Bureau of Consumer Protection Director Samuel Levine said the order not only "restricts what the company can retain and collect going forward," it ensures the CEO "faces consequences for the company’s carelessness."