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Issue 91

Enforcement updates

Cloud software company to face charges under California’s privacy law

Blackbaud Inc., a cloud computing company, admitted to paying off a ransomware attack in 2020. The company has since then faced a multiple class action which has been consolidated in multi-district litigation and now comprises of 29 cases. In the hearing, the US Federal judge ruled that all claims against Blackbaud fall under a violation of the California Consumer Privacy Act (CCPA). The company had defended the lawsuit by maintaining that it does not meet the definition of business under CCPA and was thus not liable to pay damages for data breach and security lapses under it. Rejecting the company’s claim, the judge ruled that it is a ‘for profit’ entity and would be liable for violations of the CCPA.

Pearson fined USD 1 million by SEC

Pearson plc, a public registered company has been fined by the US Securities and Exchange Commission for misleading investors about a cyber security incident, by deliberate omission and misleading statements. The incident occurred in 2018 where the records of millions of students, including dates of births and email addresses were stolen. It was noted that Pearson did not disclose and report the incident and were misleading the whole incident, until they were questioned. Without admitting or denying from the SEC’s charges, Pearson agreed to cease and desist from committing violations and has agreed to pay a USD 1 million civil penalty.

Soko Loans fined by NITDA for privacy violation

The National Information Technology Development Agency, Nigeria has raised a fine of NGN 10,000,000 on Soko Lending Company Limited. The company provides loans after downloading its mobile application to the customers and automatically activates a direct debit in its favor. The app gains unauthorized access in the mobile phone and sends unsolicited messages to the contacts of customer. Holding the company in violation of legal provisions of the Nigeria Data Protection Regulation, the authority in addition to levying fine, mandated the company to conduct a Data Protection Impact Assessment. The authority also imposed a mandatory Information Technology and Data Protection oversight on the company for 9 months.

Israel’s privacy watchdog reprimands Football association 

Following a data security incident, Israel’s Privacy Protection Authority initiated an inspection against the Israel Football Association. The investigation revealed security vulnerabilities on website of the football association, and several lapses in compliance of the Privacy Protection Regulation. The security weakness on the website allowed any user to view personal information and passport photographs and IDs of players and referees. The association also failed to implement and practice data security and breach response measures. In this regard, the authority issued guidelines for rectification of compliance lapses and to prevent future data security incidents.

Guidance updates 

US updates 

News around the globe

India updates

China updates

Privacy tools issued

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