GameStop Facebook Info-Sharing Class Action Lawsuit Dismissed

Last week, GameStop Inc. managed to dodge claims that it violated its privacy policy in the class action lawsuit alleging the company improperly shared users’ personal information with Facebook Inc. when it included Facebook features in its online games.

Lead plaintiff Matthew Carlsen argued in his class action lawsuit that GameStop and Sunrise Publications Inc. violated their privacy policy when they included Facebook development software that allegedly used the plaintiff’s Facebook ID and accessed his personal information. Carlsen claimed that GameStop’s policy stated that “Gamer Informer does not share personal information with anyone,” and that part of what he paid for was enhanced privacy protection when he subscribed.

U.S. District Judge Donovan W. Frank dismissed the class action lawsuit last week, finding that Carlsen had not established that he paid for privacy protection when he subscribed to the online gaming service. Judge Frank pointed out that Carlsen had paid for online access to the video game retailer’s Game Informer Magazine, its message boards and other enhanced content, but nothing more. “Because nonpaying and paying users received the same privacy policy in this case, plaintiff cannot establish that the privacy policy has intrinsic monetary value attributed to it that was paid for and not received,” explained the judge.

Judge Frank also said that the plaintiff’s claims that he suffered economic injury when he allegedly paid extra for privacy protection were too vague. The judge pointed out that the class action lawsuit failed to specify alleged monetary losses or risk of other injuries like identity theft. The judge also said that the GameStop class action lawsuit failed to establish that market value of the subscription was less than what subscribers paid for.

“Plaintiff’s consideration was for enhanced content and he received the benefit of that bargain — the enhanced content,” the judge wrote in his order. “Therefore, security failures or misrepresentations relating to data security, even if true as alleged, cannot be a breach and thus cannot result in a breach-of-contract injury.”

Judge Frank also pointed out that Carlsen had not demonstrated any sign that Facebook or anyone else used subscribers’ private information in any way, nor had he demonstrated any harm resulting from the collection of that information.

Judge Frank dismissed the class action lawsuit with prejudice, also pointing out that Carlsen never alleged that he stopped using his online access to Gamer Informer or logged out of Facebook when visiting the website after learning of the defendants’ alleged privacy violations. The judge also noted that the Game Informer website uses a Facebook “software development kit” and said the plaintiff failed to allege that the transmission of personal information isn’t a standard practice for sites using the kit.

Carlsen is represented by Rafey S. Balabanian, Alicia E. Hwang, Ari J. Scharg and Benjamin S. Thomassen of Edelson PC and Robert K. Shelquist Lockridge Grindal Nauen PLLP.

The GameStop Facebook Info Sharing Class Action Lawsuit is Carlsen v. GameStop Inc., et al., Case No. 0:14-cv-03131, in the U.S. District Court for the District of Minnesota.