Data Breach: Zoom pays $85million fine over user privacy violations

*The virtual communications company agrees to improve its security as complainants in a lawsuit accused Zoom of sharing consumers’ data without permission with other global technology companies, including Facebook, Google and LinkedIn

Gbenga Kayode | ConsumerConnect

For violating consumers’ privacy regulations, Zoom has agreed to pay $85 million to settle a lawsuit claiming that it breached user privacy by sharing personal data with several social networking sites and allowing hackers to disrupt virtual meetings through a practice called “Zoombombing.”

ConsumerConnect gathered that the settlement money would go into funding refunds to Zoom users, who used the service between March 30, 2016, and the date of the legal settlement.

The settlement filed Saturday, July 31, 2021, still requires approval by US District Judge Lucy Koh in San Jose, California, United States (US).

In the suit, Zoom was accused of sharing user data without permission with companies including Facebook, Google and LinkedIn.

While Zoom agreed to settle, it has not admitted any wrongdoing in this regard.

Participants in the proposed settlement would be eligible for 15 percent refunds on their subscriptions or $25, whichever is larger, agency report said.

Similarly, consumers who used the free version of Zoom without a subscription may be able to claim up to $15 in the settlement.

In regard to the need for the video conferencing company to improve product security, besides payment of the fine, Zoom has also agreed to enhance its security measures through changes “designed to improve meeting security, bolster privacy disclosures, and safeguard consumer data.”

The tech giant in a statement said: “The privacy and security of our users are top priorities for Zoom, and we take seriously the trust our users place in us.”