Net News

Google is accused of using a code to disable default security protections built into Safari, the default browser used in Apple products such as laptops, tablets and phones.

With the security protections disabled, third-party tracking technology (“cookies”) could keep tabs on users' Web activity, the plaintiffs claim.

By allegedly deactivating Safari's default settings and allowing cookies to track users' online activity without their permission, the plaintiffs claim Google violated the federal Wiretap Act, Computer Fraud and Abuse Act, and Stored Electronic Communications Act.

Hassan Zavareei of Washington's Tycko & Zavareei, who is representing plaintiffs in the Washington and Maryland cases, said in a phone interview that his firm is coordinating with plaintiffs counsel in other jurisdictions where similar cases have been filed, which include federal districts in California, Delaware, Florida, Illinois, Kansas, Mississippi, Missouri, and New Jersey.

“We think that what Google did was a plain violation of computer users' right to privacy and actually constituted a theft of their personal information,” he said. “We view this as a very serious case, and we look forward to an excellent resolution for those consumers whose information was improperly taken in violation of the law by Google.”

' Zoe Tillman, The National Law Journal

In a bid to give Internet users more control over how their personal information is collected and used, the Obama administration on Feb. 23 released a “Consumer Privacy Bill of Rights” (http://1.usa.gov/GCTc28).

The blueprint gives online consumers new technical and legal tools to safeguard their privacy, and calls for “strong enforcement” by the Federal Trade Commission (FTC).

Leading Internet companies and online advertising networks also agreed to act on “Do Not Track” technology that will make it easier for users to control how their online moves are monitored and to opt out of receiving targeted ads. According to the White House, companies including Google Inc., Yahoo Inc. and Microsoft Corp. have agreed to comply when consumers choose to control online tracking.

Some lawyers are concerned that the new Bill of Rights may spur lawsuits, according to Reed Smith partner Paul Bond via e-mail. “Companies across the country are already defending against scores of privacy-related consumer class actions, often in cases where no consumer has suffered out-of-pocket or reputational harm. This report will be widely cut-and-pasted into the next wave of privacy class action complaints to come.”

According to the White House, basic rights for online consumers include transparency, security, the right to access and correct personal information, and reasonable limits on the personal data companies collect and retain. Also, organizations are expected to collect and use data in ways that are consistent with the context in which it was provided, and consumers have the right to hold companies accountable for following the policies.

The other prong of the initiative is establishing controls over online tracking. “Consumers will be able to opt out of tracking through either [an] icon on advertisements they see or through their browser settings, and America will move further down the road to protecting consumer privacy,” FTC Chairman Jon Leibowitz said, according to the text of his remarks delivered at the White House.

Leibowitz also said that online providers have committed not to release consumers' browsing data for “sensitive purposes,” such as when employers are making hiring decisions or insurers are determining coverage.

The Obama administration also pledged to work with Congress to develop legislation based on privacy rights ' a key step, some say.

“We still need strong privacy legislation to set the ground rules for consumer privacy,” said Susan Grant, director of consumer protection at the Consumer Federation of America, in a statement.

Still, lawyers are skeptical that such legislation will be enacted anytime soon.

“There have been similar privacy initiatives and legislation introduced in the past few years and each has failed to be enacted into law,” says White & Case partner Daren Orzechowski. “While discussing such rights at this time may be of interest for political reasons, it will be interesting to see if meaningful legislation is actually passed.”

' Jenna Greene, The National Law Journal

Privacy Class Actions Filed Against Google in DC, Maryland

Two sets of plaintiffs in Washington, DC, and Maryland filed complaints in federal court against Internet juggernaut Google, accusing the company of unlawfully tracking the activity of users through the Safari Web browser.

The class actions are among at least 10 similar cases filed against Google since mid-February. The U.S. Judicial Panel on Multidistrict Litigation is considering a motion filed by Google on March 2 to consolidate the cases and transfer them to the U.S. District Court for the Northern District of California.

Google is accused of using a code to disable default security protections built into Safari, the default browser used in Apple products such as laptops, tablets and phones.

With the security protections disabled, third-party tracking technology (“cookies”) could keep tabs on users' Web activity, the plaintiffs claim.

By allegedly deactivating Safari's default settings and allowing cookies to track users' online activity without their permission, the plaintiffs claim Google violated the federal Wiretap Act, Computer Fraud and Abuse Act, and Stored Electronic Communications Act.

Hassan Zavareei of Washington's Tycko & Zavareei, who is representing plaintiffs in the Washington and Maryland cases, said in a phone interview that his firm is coordinating with plaintiffs counsel in other jurisdictions where similar cases have been filed, which include federal districts in California, Delaware, Florida, Illinois, Kansas, Mississippi, Missouri, and New Jersey.

“We think that what Google did was a plain violation of computer users' right to privacy and actually constituted a theft of their personal information,” he said. “We view this as a very serious case, and we look forward to an excellent resolution for those consumers whose information was improperly taken in violation of the law by Google.”

' Zoe Tillman, The National Law Journal

In a bid to give Internet users more control over how their personal information is collected and used, the Obama administration on Feb. 23 released a “Consumer Privacy Bill of Rights” (http://1.usa.gov/GCTc28).

The blueprint gives online consumers new technical and legal tools to safeguard their privacy, and calls for “strong enforcement” by the Federal Trade Commission (FTC).

Leading Internet companies and online advertising networks also agreed to act on “Do Not Track” technology that will make it easier for users to control how their online moves are monitored and to opt out of receiving targeted ads. According to the White House, companies including Google Inc., Yahoo Inc. and Microsoft Corp. have agreed to comply when consumers choose to control online tracking.

Some lawyers are concerned that the new Bill of Rights may spur lawsuits, according to Reed Smith partner Paul Bond via e-mail. “Companies across the country are already defending against scores of privacy-related consumer class actions, often in cases where no consumer has suffered out-of-pocket or reputational harm. This report will be widely cut-and-pasted into the next wave of privacy class action complaints to come.”

According to the White House, basic rights for online consumers include transparency, security, the right to access and correct personal information, and reasonable limits on the personal data companies collect and retain. Also, organizations are expected to collect and use data in ways that are consistent with the context in which it was provided, and consumers have the right to hold companies accountable for following the policies.

The other prong of the initiative is establishing controls over online tracking. “Consumers will be able to opt out of tracking through either [an] icon on advertisements they see or through their browser settings, and America will move further down the road to protecting consumer privacy,” FTC Chairman Jon Leibowitz said, according to the text of his remarks delivered at the White House.

Leibowitz also said that online providers have committed not to release consumers' browsing data for “sensitive purposes,” such as when employers are making hiring decisions or insurers are determining coverage.

The Obama administration also pledged to work with Congress to develop legislation based on privacy rights ' a key step, some say.

“We still need strong privacy legislation to set the ground rules for consumer privacy,” said Susan Grant, director of consumer protection at the Consumer Federation of America, in a statement.

Still, lawyers are skeptical that such legislation will be enacted anytime soon.

“There have been similar privacy initiatives and legislation introduced in the past few years and each has failed to be enacted into law,” says White & Case partner Daren Orzechowski. “While discussing such rights at this time may be of interest for political reasons, it will be interesting to see if meaningful legislation is actually passed.”

' Jenna Greene, The National Law Journal