Hulu Loses Round In Privacy Case, Data Shared With comScore

Handing Hulu a defeat, a judge ruled that users don't need to show they sustained a financial loss in order to proceed with a privacy lawsuit against the company.

The lawsuit centers on allegations that the streaming service wrongly shared data about users with comScore and Facebook, in violation of the Video Privacy Protection Act. That law prohibits movie rental companies from disclosing information about people's video-watching history without their explicit consent. Hulu sought summary judgment in its favor, arguing that the consumers shouldn't be able to proceed with their case unless they had been injured by the alleged disclosures. The company based its argument on the wording of the law, which specifies that people who are “aggrieved” by violations can sue for $2,500 in damages. Hulu contended that this language meant that consumers can't recover any money unless they have been injured as a result of disclosures. US District Court Judge Laurel Beeler in San Francisco rejected Hulu's interpretation of the law. She wrote in an 18-page opinion that consumers need only show “a wrongful disclosure” in order to recover damages.

[Dec 23]