BetterHelp will have to pay consumers $7.8 million, the FTC said. The counseling service denied wrongdoing.
U.S. trade regulators will ban BetterHelp Inc. from sharing client data, including sensitive mental-health information, with social-media companies after allegations that the Teladoc Health online-counseling unit misused customer data over a three-year span.
Under a Federal Trade Commission settlement, Teladoc’s TDOC BetterHelp would also be required to pay $7.8 million to consumers to settle the case. The money will be used to provide partial refunds to people who signed up for and paid for BetterHelp’s services between Aug. 1, 2017, and Dec. 31, 2020, the FTC said.
The order will also ban BetterHelp from sharing personal information for re-targeting, meaning targeting of advertisements to consumers who previously had visited BetterHelp’s website or used its app, including those who had not signed up for the company’s counseling service.
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