Temu class action alleges company failed to protect customer data, resulting in breach

Temu data breach class action lawsuit overview: 

• Who: Eric Hu filed a class action lawsuit against Whaleco Inc. d/b/a Temu. 
• Why: Hu claims Temu allegedly has relaxed security policies that allow the widespread and systematic theft of its customers’ personally identifiable and financial information. 
• Where: The class action lawsuit was filed in New York federal court. 

Online marketplace Temu allows widespread and systematic theft of its customers’ personally identifiable information, a new class action lawsuit alleges. 

Plaintiff Eric Hu claims Temu gains “short-term and fleeting benefits” — such as saving on the costs of compliance — by allegedly failing to comply with “reasonable security standards” that would protect the personal data of its users. 

Hu argues Temu’s users are at “ongoing risk” of having their personal information compromised due to the company’s alleged “knowing violation of its obligations to abide by best practices and industry standards in protecting customers’ personal information.” 

“Defendant’s actions did not come close to meeting the standards of commercially reasonable steps that should be taken to protect customers’ personal identifying information,” the Temu class action states. 

Hu wants to represent a nationwide class and consumer fraud multistate class of consumers who registered an account with Temu at any time from July 2022 to the present day. 

Better Business Bureau warns consumers that Temu collects ‘all kinds’ of their data , says class action

Hu cites an alleged warning by consumer group the Better Business Bureau (BBB) earlier this month in which they allegedly warned consumers that Temu collects “all kinds” of information from its users, including social media and banking info. 

The BBB has accrued more than 900 complaints by consumers who experienced unauthorized bank account withdrawals and credit card purchases shortly after they began making purchases on Temu, according to the Temu class action. 

Hu claims Temu is guilty of unjust enrichment and trespass to personal property/chattels, and of violating the Electronic Communications Privacy Act, the Computer Fraud and Abuse Act, and New York General Business Law. 

The plaintiff is demanding a jury trial and requesting declaratory and injunctive relief along with an award of actual, punitive, and statutory damages for himself and all class members. 

In another case involving Temu, the company filed a complaint against Shein in July over claims the clothing company tried to take Temu out of the marketplace through an alleged campaign of threats, intimidation, and false infringement claims. 

Have you registered an account with Temu? Let us know in the comments! 

The plaintiff is represented by John Troy, Tiffany Troy, and Aaron B. Schweitzer of Troy Law, PLLC, James Chung of Chung Law Firm, P.C., and Spencer Sheehan of Sheehan & Associates, P.C. 

The Temu data breach class action lawsuit is Hu v. Whaleco Inc. d/b/a Temu, Case No. 1:23-cv-06962, in the U.S. District Court for the Eastern District of New York.

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