Uber Hit With First State Lawsuit for Keeping Data Breach Secret
30 November, 2017, 13:42 | Author: Manuel Hopkins
John Thune (R-SD), Orrin Hatch (R-UT), Jerry Moran (R-KS) and Bill Cassidy (R-LA), notes that an outside law firm commissioned by Uber's board of directors uncovered the 2015 data breach. Uber failed to notify the attorney general's office until the 21st of November which was more than year after the initial breach happened, which was a result of Uber paying hush money to the hackers to destroy the data.
Uber says that the 2.7 million figure is an approximation because some users might disclose a different location to the one where they actually live.
The company has revealed that more than 2.7 million users and drivers in the United Kingdom were impacted by this breach. "I am committed to ensuring that those who don't follow these laws can not simply sweep it under the rug".
"Washington law is clear, when a data breach puts people at risk, businesses must inform them", Ferguson said, in announcing what he billed as a multimillion-dollar lawsuit.
Several states, including Missouri, Massachusetts and NY, have opened investigations, and the city of Chicago sued Uber on Tuesday for failing to notify affected residents.
Under Washington law, the breach of names, phone numbers and addresses does not require notification, Ferguson said, but the driver's license numbers do. "Consumers expect and deserve protection from disclosure of their personal information". "Nevertheless, the nature of the information now acknowledged to have been compromised, together with the allegation that the company concealed the breach without notifying affected drivers and consumers, and prior privacy concerns at Uber, makes this a serious incident that merits further scrutiny".
The city and county are seeking a $10,000 fine "for each violation involving a Chicago resident".
The firm has said it has a total of five million active users and 50,000 drivers in the UK.
"While Uber has repeatedly asserted that there has been no evidence of fraud or misuse tied to the incident, the concealment of a data breach bears serious consequences under the Data Privacy Act of 2012", according to Privacy Commissioner Raymund Liboro.
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