There’s knowing your customers and then there’s knowing your customers, according to John Feldman of Reed Smith in a recent post. Recently a technology company got into trouble with the Federal Trade Commission for having too intimate a portrait of its clientele’s lives.

Nomi is a company whose products help retailers track customers’ movements in their stores. But it may have gone further than that. “The complaint alleged that Nomi tracked consumers both inside and outside their clients’ stores,” Feldman says. The company then gave retailers such information as how many people passed by the store instead of entering, how long they stayed inside and when they visited another location if it was a chain.

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