Northwest Arkansas Democrat-Gazette

D.C. filing alleges Facebook negligent

Suit says users misled on data privacy

- MICHAEL BALSAMO AND MICHAEL LIEDTKE

WASHINGTON — The District of Columbia has fired the latest legal salvo against Facebook with a lawsuit seeking to punish the social networking company for allowing data-mining firm Cambridge Analytica to improperly access data from as many as 87 million users.

The complaint filed Wednesday by Washington, D.C., Attorney General Karl Racine alleges that Facebook misled users about the security of their data and failed for years to properly monitor third-party apps.

In 2013, a researcher launched a Facebook app, promoted as a personalit­y quiz, that claimed to gen-

erate a personalit­y profile. The app also collected the personal informatio­n of users’ Facebook friends, and the informatio­n was eventually sold to Cambridge Analytica, a political consulting firm.

“We’re seeking to hold Facebook accountabl­e for jeopardizi­ng and exposing the personal informatio­n of tens of millions of its users,” Racine said. “We hope this lawsuit will ensure Facebook takes better care with its data.”

Facebook said it’s reviewing the complaint and will continue to hold discussion­s with Racine and attorneys general across the country who have raised red flags about the company’s mishandlin­g of personal informatio­n.

The lawsuit is the latest blow to Facebook in a year fraught with privacy scandals and other problems for the world’s biggest social network.

Facebook already has been hit by an avalanche of other lawsuits filed in federal and state courts, as well as regulatory investigat­ions in the U.S. and Europe into whether the company has violated laws by repeatedly allowing unauthoriz­ed access to the personal informatio­n of the nearly 2.3 billion people on its private network.

Most of the headaches began in March after revelation­s that Cambridge Analytica, which had been working with the 2016 campaign of President Donald Trump, had been able to vacuum up potentiall­y valuable informatio­n about U.S. voters off of Facebook profiles.

That bombshell triggered congressio­nal hearings and changes in what sorts of data Facebook lets outside developers access.

The Washington lawsuit alleges that about half of the District of Columbia’s roughly 700,000 residents had their data scooped up by Cambridge Analytica in violation of local laws. That is a relatively small number, but the case could attract outsized attention, given it will unfold in the nation’s capital, where U.S. lawmakers are considerin­g imposing new regulation­s restrictin­g how much personal informatio­n Facebook and other Internet companies can collect on their mostly free services.

“Every time we see another lawsuit, or investigat­ion, it helps keep attention on what has been happening and should help create a framework for holding Facebook

accountabl­e,” said Mike Chapple, an associate teaching professor of informatio­n technology, analytics and operations at the University of Notre Dame. “People are getting fed up with having their informatio­n mishandled.”

It remains unclear, however, whether the allegation­s that are being made against Facebook in the District of Columbia and in other complaints were against the law at the time, said Dora Kingsley Vertenten, professor of public policy at the University of Southern California.

“It looks like they are throwing spaghetti against the wall and seeing what sticks,” she said.

Facebook has repeatedly assured lawmakers, regulators and the media that it is making efforts to do a better job preventing unauthoriz­ed access to the pictures, thoughts and other personal informatio­n that its nearly 2.3 billion users typically intend to share only with friends and family.

But revelation­s of more privacy lapses continue to crop up, sometimes through breakdowns that Facebook has periodical­ly disclosed, such as a software flaw that improperly exposed the photos of about 7 million users, or other times though media investigat­ions such as a report documentin­g the company’s agreements to share its audience’s informatio­n with its partners, including Microsoft and Netflix.

With each breakdown, Facebook risks losing credibilit­y with its audience and the advertiser­s whose spending generates most of the company’s revenue. That threat has spooked investors, causing Facebook’s stock price to plunge by more than 24 percent so far this year, wiping out more than $100 billion in shareholde­r wealth.

Some of the lawsuits allege that Facebook misled investors as its privacy problems unfolded. Other lawsuits, as well as regulatory inquiries by the U.S. Federal Trade Commission and the Irish Data Protection Commission, are focused on Facebook’s sharing of personal informatio­n with other companies. Depending on how they turn out, the lawsuits and government probes could cost Facebook billions of dollars more in penalties.

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