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EBay was hit with a data security breach class action lawsuit by an eBay customer alleging that the ecommerce website did not have adequate security to protect its customers’ information from identity thieves when the data was compromised in February.
The data breach lawsuit was filed on Wednesday by Louisiana resident Collin Green, who had an account with eBay when the data breach occurred and his information was compromised by identity thieves.
The data breach occurred sometime in February or March, when eBay’s electronic files were compromised by hackers.
“The thieves had access to, and reportedly copied, customer names, encrypted passwords, email addresses, physical addresses, phone numbers, and dates of birth, at a minimum,” the data breach lawsuit says.
The customer information that eBay keeps also includes credit card numbers, bank account numbers, geo-location information, IP addresses and shipping/billing information.
Green says he doesn’t know how much of this other information was “also stolen due to eBay’s failures.”
Even though the data breach occurred in February or March, it was not reported to the public by eBay until May 21, when eBay notified its customers of the security breach.
According to the eBay data breach lawsuit, eBay made this announcement “only after the security breach had been reported by independent internet sources.”
Green alleges that the data breach occurred because eBay did not have adequate security in place to be sure its customers’ information was protected, the eBay data security breach class action lawsuit claims.
“EBay was aware of the value of the personal information it held, and the threat to the security of that information long before the 2014 security breach,” the lawsuit states.
Green alleges when eBay first learned of the security breach in February, that it was motivated by “market perception” and its “bottom line” to withhold the information from the public.
“EBay’s profit-driven decision to withhold the fact of its security lapse further damaged the class members who were prevented from immediately mitigating the damages from the theft,” the lawsuit explains.
“As the [Federal Trade Commission] warns, ‘[i]f you suspect that someone is misusing your personal information, acting quickly is the best way to limit the damage,” the data breach class action lawsuit says.
“EBay’s failure to properly secure this information has caused, and is continuing to cause, damage to its customers,” the data breach class action lawsuit claims.
Green explains that “the theft of personal information is extremely harmful to eBay’s customers and leaves them at increased risk of significant damages, and forces them to incur continuing expenses to properly mitigate the damages caused.”
According to the data breach class action lawsuit, eBay keeps the personal information of more than 120 million customers on file “in electronic files it declares ‘secure.'”
The Louisiana man says that this is done by the ecommerce website for “its own financial benefit.”
Green is charging eBay with negligence, violating federal Stored Communications Act, violating a Louisiana statute says eBay was supposed to notify Louisiana citizens immediately when the security breach took place, breach of contract, breach of implied contract, breach of fiduciary duty, violation of the Gramm-Leach-Bliley Act, violating multi-state privacy laws, and violating the federal Fair Credit Reporting Act.
The eBay class action lawsuit is for “all customers of eBay in the United States that provided personal information to eBay and had their personal information accessed by unauthorized third parties by breaching eBay’s security system.”
Green is suing eBay for compensatory damages, consequential damages and injunctive relief.
The plaintiff is represented by Charles F. Zimmer, Eric J. O’Bell and Bradley T. Oster of O’Bell Law Firm LLC.
Counsel information for eBay is not available at this time.
The eBay Data Breach Class Action Lawsuit is Collin Green v. eBay Inc., Case No. 2:14-cv-01688, in the U.S. District Court for the Eastern District of Louisiana.
UPDATE: A federal judge has dismissed the eBay Data Breach Class Action Lawsuit. Click on this link to learn more about the court’s decision.
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30 thoughts onEBay Hit With Data Security Breach Class Action Lawsuit
yes I was told to change my password to
Every person on ebay was told to change there password not just certain people, as soon as the cat was let out of the bag they put on the top of ebay when you logged in please change your password to the point of harrassing you about it!!!
I am concerned, I purchased from Ebay in February!
I was buying and selling on ebay. My personal banking information was uploaded. I was told to change my password. My bank inform me that my bank card was tempter with so they discontinue my bank card. I had to get a new card.
What I have a hard time with is the fact I read a article on yahoo(in all places ) about the breach , before ebay even tried to tell me this happened -something is very wrong about that . However The only thing I notice since the breach is a lot more spam and junk mail .
I LOVE IT !!!! GOD I LOVE IT!!!! Now 99% of you who are on this site have never been hurt by any of these people getting sued, you are just here for the $$$ and whatever you can get,, just be honest about it and quit acting like you were PERSONALLY devastated by these companies. I too hate corporate America, and wish you luck getting what you can,, but quit acting like you have been brought to the brink of bankruptcy by these folks,, ALL OF THEM. Now Ebay,, I hope they are sued to within a dollar of shutting the doors.
Jeff, You sound like one of the 99 percenters who feel that corporate America owes you a $25/hr.
minimum wage job, welfare, food/housing as well as a reliable car to drive.
When you learn to accept personal responsibility for your own life and move out of your parents basement, things will become a little more clear in what life’s all about. (and it’s not cradle to grave
care by the federal or state governments)
I LOVE IT !!!! GOD I LOVE IT!!!! Now 99% of you who are on this site have never been hurt by any of these people getting sues, you are just here for the $$$ and whatever you can get,, just be honest about it and quit acting like you were PERSONALLY devastated by these companies. I too hate corporate America, and wish you luck getting what you can,, but quit acting like you have been brought to the brink of bankruptcy by these folks,, ALL OF THEM. Now Ebay,, I hope they are sued to within a dollar of shutting the doors.
Get off your high horse!
When are they going to learn that updating the icons to look more smartphone & social media-esque or changing the colors on the pages layout are not more avidly important then the protection of their customer$ BANKING Information?
Your rights have been affected!
Everyone who uses this e bay s forced to link to their banking institution of some kind, even pay pal – is owned by e bay . This company so much of our money they should be able to afford TRUE technical site engineers who know what they are doing and can curb these sort of personal data breaches from ever happening. This is not a commonality that people can just shrug off,or at least until you or someone you care about has been the unfortunate/unsuspecting victim of this theft at the care, hand, and responsibility ( or lack thereof ) of this evil corporation.
This is most definitely not okay. How will they learn ithat though if nobody is their to teach them? Im joining the cause now because unlike some others out there, that are fueled only by money or selfish greed, this one stands for the people.;The average good, everyone hardworking person. Let our voices be heard! To e bay I say watch out – >better hope the legal team you hire are more apt then your site techs. ( Hey good luck with that ! )…and to you the reader, I can only Thank you for reading.
You took the words out of my mind! Thank you! Penny !!!
I totally agree with you I have had account with.ebay goggle all of these big company’s and they all need be held liable . Last weekend mine whole phone got hacked . Do you Think these big company care no they don’t . But what people not getting that they not alway just hacking for your banking and Credit cards . They doing it for your Ssn numbers birthday all your information don’t matter if your rich or poor.
I also got the prompt to change my password due to a security issue. I hope none of my credit card or bank info has been stolen. I have been getting alot of junk mail lately.
Oh no! I never heard about this. I was selling on ebay and have my personal banking information uploaded.
eBay was sending emails about this and they were urging people on home page to change passwords; they should be offering monitoring at the very least
I agree..I was told to change password but, didn’t really know WHY????????????
I like how they just send email out saying your account might be at risk. when they no it is but Fail to tell you the truth .. And we only find out when people trying to steal your money out of your bank or credit card . They should be held liable since they do promise everyone their site is safe .just mine thought on it
I also data damage from ebay