Zoom Sued for Inadequate Privacy Protection Measures

Published by:
Nancy Lee

Reviewed by:
Alistair Vigier
Last Modified: 2023-05-10
Zoom is being sued for privacy issues. We often cover lawsuit news, and Zoom has been on our radar!
Zoom was also recently in the news for suing RingCentral over a breach of contract.
This article however will focus on the privacy class action lawsuit against Zoom.
Zoom has been ordered to pay $85 million (in United States dollars) to subscribers, so pay attention! You might be entitled to compensation, but don’t get your hopes up.
Subscribers to Zoom can either get $25 USD or a partial refund, which comes out to fifteen percent. The settlement is relativity small compared to the other large class-action lawsuits against corporations.

Privacy Breach Allegations Prompt Zoom Lawsuit
Judge Lucy Koh mentioned a law in the United States called the Communications Decency Act. Apparently, this law is the reason for the smaller settlement. It offered Zoom some protection.
In addition to the financial side of the settlement, Zoom has also been forced to improve its cybersecurity operations.
The class-action lawsuit claimed that subscribers’ privacy rights had been violated by the lack of cybersecurity at Zoom. Hackers were able to do something called “Zoombombing.”
Zoombombing is when a hacker gets into your private video meeting, and normally does something disruptive for shock value.
We wanted to provide a video example of Zoombombing, but it seems that many of the examples are too explicit to put online.
Zoom Lawsuit 2021
Most of the time, someone logs into a video call and makes racial insults, or makes threats against whoever is speaking.
At other times, the hacker logs on naked, normally wearing a mask. There have been times when the video shows someone having sex.
Sometimes the hacker shares their screen, and they are looking at PornHub.
There doesn’t appear to be any type of financial reason for the hack. It’s just to cause chaos for fun.
When Zoom agreed to settle, they refused to admit that they had done anything wrong. They agreed to offer $25 and to work hard at preventing hacking in the future.
The law firm that handled the class action is seeking over twenty million in legal fees from the court (which has to approve lawyer compensation with class actions.)
Zoom Sued for Privacy Problems
The reason that Zoom said the hacking happened is that the company grew too fast due to COVID-19.
The company was so busy at the beginning of the pandemic growing their company that they had little time for security testing. All focus was on operations.
They had grown from around 82K customers to around 500K in a relatively short period of time.
The value of the company also quickly grew. Zoom benefited greatly from the pandemic (financially.)
However, since there have been signs of a COVID-19 recovery, the company shares have been relatively flat.
This lawsuit shows how important it is to have a penetration testing team (cybersecurity) and good corporate lawyers.
Because Zoom had strong user agreements (that everyone must agree to when signing up) the settlement was much lower.
If you ever need a lawyer to review your privacy policy in Canada, the United States, or China, contact us. We have business lawyers in these places that we can connect you with.
Zoom was sued for privacy issues, don’t let it happen to your company.
Zoom Lawsuit Over Privacy Issues
As a concerned citizen, I am deeply troubled by the allegations of privacy breaches against Zoom, a video conferencing giant that many of us have come to rely on during the COVID-19 pandemic. The recent lawsuit filed against the company in California alleges that it shared users’ personal information with third-party companies without their explicit consent. This is a serious violation of the California Consumer Privacy Act and raises alarming questions about the company’s privacy practices.
The lawsuit highlights the need for strong privacy protections in the digital age, as more and more people turn to technology for remote work and social interactions. In the case of Zoom, users put their trust in the company to keep their personal information safe, but it appears that this trust has been violated.
Misrepresenting its encryption practices
It’s worth noting that this is not the first time Zoom has faced privacy concerns. Earlier this year, the company was accused of misrepresenting its encryption practices, which led to a settlement with the Federal Trade Commission. This latest lawsuit only adds to the growing list of concerns.
While Zoom has pointed to recent efforts to enhance its security features, such as implementing end-to-end encryption for paid users, this may not be enough. The plaintiffs in the lawsuit argue that the company needs to obtain explicit consent from users before sharing their personal information with third-party companies.
As consumers, we also have a role to play in protecting our own privacy. We can take steps such as using strong passwords, being careful about what information we share online, and being selective about the apps and services we use. However, companies like Zoom have a moral and legal responsibility to ensure that they are doing everything in their power to protect their users’ personal information.

Lip service to privacy concerns
When companies like Zoom fail to meet this responsibility, it can have serious consequences for users, such as identity theft or financial fraud. This is why the allegations against Zoom should serve as a wake-up call for other companies in the tech industry. It’s not enough to simply pay lip service to privacy concerns. Companies need to take concrete actions to protect their users’ personal information and regain their trust.
This could mean implementing stronger security measures, being transparent about data practices, and taking responsibility when things go wrong. As consumers, we have the power to demand better privacy protections from companies, but it’s up to these companies to take action and prioritize the privacy of their users.
If you are interested in starting a class action, you should see our article on the subject.
If you want compensation from the Zoom settlement, reach out to the law firm. Could someone contact us with the name of the law firm? That would be helpful! We will add it to this article.
What do you think about Zoom being sued for privacy issues?
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