Page 276 - Washington Nonprofit Handbook 2018 Edition

• Ensure that an advertisement’s “text, graphics, hyperlinks, or sound do
not distract consumers’ attention from the disclosure.”

If you sell other companies’ products on your website, be aware that the FTC
may also hold you responsible for misleading ads and product descriptions, even
when those materials are provided by the manufacturer.

b. Children’s Online Privacy Protection Act

Nonprofit organizations that collect information from, or is attractive to,
children under thirteen, should be aware of the Children’s Online Privacy Protection
Act, which requires that businesses and organizations “obtain verifiable parental
consent for the collection, use, or disclosure of personal information from
children.” 15 U.S.C. section 6502(b)(1)(A)(ii). Even if your site is not targeted at
children, you could be subject to requirements under this law if you collect age or
date of birth information during online registration and do not block children from
registering.

c. Health Insurance Portability and Accountability Act (“HIPAA”)

Nonprofit organizations that are hospitals or its foundation, must be aware
of HIPAA. Specifically, in the case of healthcare fundraising, hospitals cannot target
segmented fundraising mail to former patients without their express written
consent. For instance, if a person goes into the hospital as a cardiac patient, the
hospital’s fundraiser or foundation cannot target that former patient as having
been in the cardiac care unit without his or her written permission.

d. Your Organization’s Privacy Policy

(i) Online Privacy Protection Act (California State Law)

Owners of websites anywhere in the country should be aware of the
provisions of California’s Online Privacy Protection Act of 2003 (codified in Cal. Bus.
Code sections 22575 - 22579), which went into effect July 1, 2004. It requires an
owner of a commercial website or online service (“operator”) that collects
personally identifiable information through the internet about individual California
resident consumers to conspicuously post its privacy policy. An individual’s
personally identifiable information includes his or her name, address, e-mail
address, phone, social security number, identifying information that enables
physical or online contact with such individual, and other information collected and
maintained in personally identifiable form in combination with the preceding

WASHINGTON NONPROFIT HANDBOOK -265- 2018