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ZOOM SETTLES US CLASS ACTION PRIVACY LAWSUIT FOR $86M

2 August 2021
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Zoom

Video-conferencing firm Zoom has agreed to pay $86m (£61.9m) to settle a class
action privacy lawsuit in the US.

The lawsuit alleged that Zoom had invaded the privacy of millions of users by
sharing personal data with Facebook, Google and LinkedIn.

It also accused Zoom of misstating that it offers end-to-end encryption and for
failing to prevent hackers from "zoombombing" sessions.

The firm denied any wrongdoing, but has agreed to boost its security practices.

The preliminary settlement, which also includes a provision that Zoom will give
its staff specialised training in data handling and privacy, is still subject to
approval by US District Judge Lucy Koh in San Jose, California.



A Zoom spokesman said: "The privacy and security of our users are top priorities
for Zoom, and we take seriously the trust our users place in us.

"We are proud of the advancements we have made to our platform, and look forward
to continuing to innovate with privacy and security at the forefront."

 * Zoom bets billions on home working continuing
 * 'Zoombombing' targeted with new version of app
 * Zoom under increased scrutiny as popularity soars

The class-action lawsuit, filed in March 2020 in the US District Court in the
Northern District of California, is just one of several legal complaints facing
the US-based video-conferencing platform.

The lawsuit was filed on behalf of Zoom Meetings paid subscribers nationwide, as
well as free users.



According to the plaintiff's lawyers, US Zoom subscribers generated $1.3bn in
revenues for the video-conferencing firm.

Should the proposed settlement be approved, subscribers included in the class
action would be eligible for 15% refunds on their subscriptions or $25,
whichever is larger, while others could receive up to $15.

The plaintiffs' lawyers also intend to seek $21.3m in legal fees from Zoom.

The video-conferencing firm had asked the court to dismiss the motion in March.

However Judge Koh only granted the dismissal of part of the case pertaining to
invasion of privacy and negligence - she allowed the plaintiffs to continue to
pursue some claims relating to contracts.




ZOOMBOMBING AND SECURITY CONCERNS

The video-conferencing firm has long been criticised for its approach to its
security.

Getty Images

One key issue that has led to some companies choosing to stop using the platform
is the phenomena of "Zoombombing" incidents, where uninvited guests crash
meetings to cause problems.

According to the New York Times, in April last year a virtual Chipotle event
during the coronavirus lockdown was disrupted when a hacker entered and
broadcast pornography to hundreds of attendees.

Zoom has also come under fire for security flaws, including a vulnerability that
allowed an attacker to remove attendees from meetings, spoof messages from users
and hijack shared screens. Another saw Mac users forced into calls without their
knowledge.



On top of this, plaintiffs of the lawsuit accused the platform of
misrepresenting its encryption protocol - transport encryption - as end-to-end
encryption.

This means Zoom can access the video and audio of meetings, rather than the
meeting's participants being the only ones able to decrypt communications.

However, since April 2020, the BBC understands that Zoom has undertaken a
substantial amount of work to address security and privacy concerns through app
updates, including the introduction of end-to-end encryption and more than 100
features related to privacy, safety and security.




YOU MAY BE INTERESTED TO WATCH:

2:40
From pet and child interruptions to catching fire, here's a look at the times
online meetings went wrong



ZOOM UNDER INCREASED SCRUTINY AS POPULARITY SOARS


'ZOOMBOMBING' TARGETED WITH NEW VERSION OF APP


ZOOM BETS BILLIONS ON HOME WORKING CONTINUING

Companies
Internet privacy
Video calling
United States
Cyber-security
Privacy

--------------------------------------------------------------------------------

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