Zoom Video Communications has settled a lawsuit over user privacy for $85 million, as reported by Reuters. A lawsuit was filed against them arguing that they violated the privacy rights of its users by stealing the personal data of the users and sharing it to Facebook, Google, and LinkedIn. The company was also accused of Zoombombing which is a way in which hackers disturb Zoom meetings.
The company filed a preliminary settlement on Saturday and it is to be approved by U.S. District Judge Lucy Koh. The subscribers eligible will be given 15% refunds on core subscription or $25, whichever is larger. The company has also agreed to increase security over its platform. This will include an alert for its users when a third-party app is allowed in a meeting. It will also provide specialized training in terms of privacy and data handling to its employees.
The company has not agreed to the claim that it did wrong. The company told in a statement that, “The privacy and security of our users are top priorities for Zoom, and we take seriously the trust our users place in us.” Zoom had collected almost $1.3 billion in its subscriptions. However, the $85 million settlement was considered reasonable and the plaintiffs’ lawyers will seek up to $21.25 million in terms of legal fees.
Zoombombing is when hackers hack Zoom meetings and display other vulgar content, use racist language, or other disturbing content in the meeting. The judge said that the platform was immune to Zoombombing.
Zoom had its customers increase about six times since the pandemic began and more people began to work from home. The growth in its users may plunge down when people return to the office and schools reopen.
