top of page

A Guide on how to navigate Data Privacy Lawsuits: The Shopify Case Study.

Have you ever had the weird experience of logging in and the following few days you visit the internet and everywhere you go you can see those commercials of the same product. It's a bit unsettling, right? That is how it is nowadays because our lives are becoming more digital. But what we ought to ask is what will become of this sensation when it is no longer a nuisance, but a legal question? That is what we have with an oversized case against one of the biggest participants in the e-commerce sector, Shopify. It is not a dry legal case, but it is a story that will serve to illustrate to us the new rules of the road as far as privacy on the internet is involved. This case and its implications to each and every one of us should be given a closer look.


The Heart of the Matter: The Story behind the Shopify Case.


What Was the Big Deal?

The entire began with a simple statement. One of the clients who had visited one of the online stores built on a Shopify platform alleged that Shopify had installed small bits of software on his computer against his knowledge, which is synonymous to digital spies. These tools, however, did not exist, but it was alleged that they were being used to track his activities online so as to profile him fully and sell the information to other businesses. The core issue? No one ever obtained his permission on all this. It poses a big question, who were the true maniacs that stared at us as we travelled through the internet as we surfed?

man shrugging

The Court's Surprise Twist

Early during the time that the lawsuit was being filed the legal department of Shopify merely responded, “We are a Canadian company!”. This does not belong to the business of this court in California. The initial agreement was the one that the court agreed. But the person who was to sue did not relinquish. He was challenging the decision and that is where it became really interesting. A higher court in the U.S. appealed the ruling completely, saying that as the information on Shopify platform is gathered on individuals that reside in California, it has enough connection to the state to be liable in it. This was a game changer in its entirety and that is what is making the whole tech industry to talk.

discussing lawsuits

Why This Matters to Everyone

This ruling is a monster by itself as it is redefining a historic concept of law to the digital realm. The company does not have to have a physical office to be sued in a state and it does not need to have a single employee. It may be enough even in case their software is collecting information about one of the residents. It is now much easier to accuse the global companies of their data practices irrespective of the location of the business. It is in fact closing the digital loophole that has been used by businesses over the years.

teamwork

What We Can All Learn Here.

The Shopify case is not an isolated lawsuit, but a very powerful wake up call. To all businesses out there, it is extremely easy to understand that it is not good to cross your fingers and hope that your data practices are implemented. The case explains the importance of the fact that there must be clear and transparent and fair data policies that can be readily understood by anyone. It is also an eye opener to all the internet users that they should no longer believe that their privacy is a given. It is an ongoing communication that requires us to be aware and the businesses to be accountable.

employee learning from mentor



Want more cybersecurity guides?

Subscribe to our newsletter!


Recent Posts

bottom of page