Judge Dismisses Much of PlayStation Hacking Suit

Lucille Scott reports that a federal judge has thrown out much of the potential class action lawsuit by PlayStation users who say that the Sony security breach exposed more than 69 million personal and credit card accounts to theft. Scott reports:

The 36-page order dismisses several claims such as negligence, unjust enrichment, bailment and violations of California consumer protection statutes.

Sony did not violate consumer-protection laws “because none of the named plaintiffs subscribed to premium PSN services, and thus received the PSN services free of cost,” Battaglia wrote.

Read more on Courthouse News.

Somewhat disturbingly, the judge held that Sony’s Privacy Policy included “clear admonitory language that Sony’s security was not ‘perfect,'” therefore “no reasonable consumer could have been deceived.”

So as long as a site puts in some disclaimer like “we’re not perfect in our security,” there is no recourse for what might be really sloppy security? Wow. How would that play out in other cases that have been litigated already or in the hopper to be litigated?

Venkat Balasubramani also blogged about this dismissal last week, but I missed it somehow. Do check his blog entry for more on the various issues raised in the case.

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