Customer Data and Security Breach Ligitation

1152 Words3 Pages

In re Zappos.com, Inc., Customer Data Security Breach Litigation, No. 3:2012cv00325, was a case held in United States District Court for the District of Nevada in which the Court supposed that the customers of Zappos.com were not held to the browse wrap terms of use due to their ambiguous nature and also held that the agreement was not enforceable since Zappos had earmarked the right to make changes in it at any time without notifying the customers. The above court decision set preference for businesses that use browse wrap agreements and/or comprise a phrase in their agreements that let them to change the agreements at any phase. The decision fortified conversations on how commerce must utmost fairly exhibit its terms and conditions of use and how to circumvent inequitableness and obscurity when writing them. 3. Background and impact: Zappos has got a customer base of nearly twenty-four million people. In the period of January 2012, Zappos has undergone suffering due to data security breach which provided hackers private info of their customers. The securities breach shown customer names, their addresses, and phone numbers but did not provide the credit card information of customers. After Zappos got to know about the security breach, Zappos have sent bulk emails to all the customers informing them about the security breach and recommended that they change their login details on the website. Several Zappos customers individually filed suit against Zappos appealing that their model of business haven’t safeguard the valuable info of their customers. Appellants recorded 12 causes of action for the suit blaming Zappos of not taking sufficient actions to protect customers' personally detectable info. In June 2012, there were 9 law... ... middle of paper ... ...n "accept" button. The second common recommendation was for businesses to revise or eliminate any language from its terms and conditions of use that would let it to alter the terms of use without notification. 6. References: i. Goldman, Eric. "How Zappos' User Agreement Failed In Court and Left Zappos Legally Naked."Forbes. http://www.forbes.com/sites/ericgoldman/2012/10/10/how-zappos-user-agreement-failed-in-court-and-left-zappos-legally-naked/ (accessed March 7, 2014). ii. "Zappos terms of use still "browsewrap"." Counselor@law. http://www.wac6.com/wac6/2012/11/zappos-terms-of-use-still-browsewrap.html (accessed March 7, 2014). iii. "MDL No. 2357 - IN RE: Zappos.com, Inc., Customer Data Security Breach Litigation." Justia Dockets & Filings. http://docs.justia.com/cases/federal/district-courts/nevada/nvdce/3:2012cv00325/88233/114 (accessed March 7, 2014).

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