Government sues Toysmart.com over privacy

Government regulators have filed suit against failed online toy retailer Toysmart.com to prevent the sale of its customer database.

The Federal Trade Commission said the Waltham, Mass.-based Internet firm misrepresented itself when it recently tried to sell confidential, personal information collected from its customers. According to Toysmart.com's privacy policy, posted on the company's Web site, "Personal information ... such as name, address, billing information and shopping practices, is never shared with a third party."

More details are located at www.zdnn.com.