(Reporting by Jonathan Stempel in New York Editing by Andrea Ricci and Lisa Shumaker)įollow HT Tech for the latest tech news and reviews, also keep up with us District Court, Northern District of California, No. The case is In re: Zoom Video Communications Inc Privacy Litigation, U.S. It has said user growth could slow or decline as more people get vaccines and return to work or school in-person. The company had 497,000 customers with more than 10 employees in April 2021, up from 81,900 in January 2020. Zoom's customer base has grown sixfold since the COVID-19 pandemic forced more people to work from home. Koh said Zoom was "mostly" immune for Zoombombing under Section 230 of the federal Communications Decency Act, which shields online platforms from liability over user content. Zoombombing is where outsiders hijack Zoom meetings and display pornography, use racist language or post other disturbing content. They intend to seek up to $21.25 million for legal fees.
Though Zoom collected about $1.3 billion in Zoom Meetings subscriptions from class members, the plaintiffs' lawyers called the $85 million settlement reasonable given the litigation risks. Saturday's settlement came after Koh on March 11 let the plaintiffs pursue some contract-based claims. In a statement on Sunday, Zoom said: "The privacy and security of our users are top priorities for Zoom, and we take seriously the trust our users place in us." The San Jose-based company denied wrongdoing in agreeing to settle. Zoom agreed to security measures including alerting users when meeting hosts or other participants use third-party apps in meetings, and to provide specialized training to employees on privacy and data handling. Subscribers in the proposed class action would be eligible for 15% refunds on their core subscriptions or $25, whichever is larger, while others could receive up to $15.
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