FTC Keeps 2021 Ban in Place, Rejects SpyFone CEO’s Bid to Undo Order

This article was written by the Augury Times
FTC denies petition; the 2021 ban stays in force for SpyFone’s CEO
The Federal Trade Commission has rejected a request from SpyFone’s chief executive to erase a 2021 enforcement order. That means the restrictions on the company’s products and on the CEO’s ability to sell monitoring tools remain active immediately. The FTC’s decision is a clear, formal rebuff: the agency said it would not vacate the original order and kept in place the legal limits that followed earlier findings about the apps.
Who SpyFone was, who led it, and why regulators moved in 2021
SpyFone was the brand name for a set of smartphone-monitoring apps sold for use by consumers. The apps could track location, read messages, and, in some cases, run invisibly on a target phone. That kind of software is often called “stalkerware” because it can let someone secretly monitor a partner, family member, or employee without consent.
Scott Zuckerman, the CEO, led the company through the period that drew regulators’ attention. In 2021, the FTC took action after finding that SpyFone’s product design, marketing and sales practices put users and the people they might spy on at risk. The agency’s order then included broad limits: it barred the sale of certain monitoring products, required changes to practices, and imposed oversight measures aimed at stopping misuse.
The central concern for regulators and privacy groups was not that tracking tools can ever be useful, but that these particular products lacked sufficient safeguards. SpyFone’s apps had features that made secret surveillance easy and left victims with little notice or protection, according to the earlier enforcement findings.
Why the FTC refused to vacate the 2021 order
The agency’s written response to the petition focused on legal standards and public safety. To cancel a long-standing enforcement order, petitioners must show a clear change in circumstances or a legal error in the original case. The FTC said the petition did not meet that standard.
Practically, the agency noted that the risks the order was meant to stop—secret monitoring and invasion of privacy—had not vanished. The FTC described ongoing consumer harm and said it needed the order to remain in place to prevent repeat violations. The decision also emphasized that vacating remedies designed to protect the public is a serious step that requires strong justification; the petition fell short.
Procedurally, the denial keeps the original terms and any compliance obligations intact right away. That means the CEO remains subject to the same business restrictions, oversight provisions, and any reporting or record-keeping the 2021 order required.
What this signals about privacy enforcement and similar apps
The FTC’s move sends a clear message: regulators are ready to enforce against apps that enable secret surveillance. For companies that build or sell monitoring tools, the decision tightens the bar. Firms that rely on opaque installs, invisible operation, or weak consent processes should expect closer scrutiny and tougher remedies if they cross the line.
The case is also a precedent for how the agency treats petitions to undo remedies. The FTC made plain that it views long-term consumer protection orders as durable unless petitioners can show meaningful reasons to change them. That will matter not just for stalkerware vendors but for other businesses hit with broad privacy or safety rules.
Next steps: likely appeals, public reaction, and what to watch
SpyFone’s CEO can seek review in federal court, and an appeal is the most obvious next move. But appeals are slow and costly, and the FTC’s clear reasoning makes success uncertain. Meanwhile, privacy advocates are likely to praise the decision as a win for victims of domestic abuse and non-consensual surveillance. Developers of legitimate parental- or employee-monitoring tools may respond by tightening consent controls and adding clearer safety features to avoid similar enforcement.
Watch for two things next: whether an appeal is filed and whether the FTC uses this decision as a springboard to pursue other firms selling similar tools. Regulators, platforms that host apps, and payments processors all have roles they could play in limiting how stalkerware is sold. The practical effect today is simple: the 2021 protections remain, and companies making monitoring software will now operate under an unmistakable warning from the agency.
Photo: RDNE Stock project / Pexels
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