Privacy, Data Security

Proposed data privacy lawsuit against Shopify revived

Shopify was considered one of the more innovative companies in 2020 for the way it emerged at a go-to ecommerce brand during the pandemic. Today’s columnist, Alex Moiseev of Kaspersky, says companies need to focus on innovation to survive and thrive in the year ahead. (Credit: CC 0 1.0)

Major Canadian e-commerce platform Shopify can face legal action in California over its collection of buyers' personal information following a San Francisco appeals court decision, according to Reuters.

California had its buyers targeted by Shopify following the platform's unconsented installation of cookies on an iPhone belonging to a resident who purchased from athletic apparel retailer I Am Becoming, noted the 9th U.S. Circuit Court of Appeals in San Francisco. "Shopify deliberately reached out ... by knowingly installing tracking software onto unsuspecting Californians' phones so that it could later sell the data it obtained, in a manner that was neither random, isolated, or fortuitous," said Circuit Judge Kim McLane Wardlaw. Such a decision has been supported by 30 states and Washington, D.C., which noted the importance of consumer protection law enforcement. However, Shopify said that the ruling poses a threat to online businesses.

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