FTC Delays Enforcement of the Red Flags Rule…Again

By William T. Koustas –

As we have previously reported (here, here, and here), the FTC has delayed enforcement of its Red Flags Rule (“the Rule”) several times since its original effective date of November 1, 2008.  Now, some in Congress have requested that the FTC again delay enforcement while Congress takes up legislation that would more precisely define the entities covered by the Rule.  As a result, the FTC has delayed the Rule’s enforcement until December 31, 2010, unless Congress passes legislation with an earlier effective date.