LNKD: LinkedIn Faces Lawsuit Over Hacking Into Users’ Email

by Burke Speaker | June 13, 2014 10:15 am

LinkedIn (LNKD[1]) is being hit with a lawsuit that alleges the work networking site improperly accessed users’ email for contact info that was shared with outside marketers.

[2]LinkedIn users must provide an external email to set up an account — the lawsuit states that the company used the emails and account addresses for monetary gain.

The suit states that LinkedIn sent ‘endorsement emails’ to contacts without users’ consent: It asks that the company halt such actions and return any revenue made due to this alleged breach.

LinkedIn, for its part, denies any wrongdoing — and may likely walk away without a blemish considering recent history.

Note that in 2012, LinkedIn sued for accessing 6.5 million users’ passwords — but the company was acquitted in 2013.

Data usage guidelines have thus far shown to be not a perfected art for social media companies, to include Facebook and Twitter.

These companies often walk a fine line between making money off user information and contract lists, and protecting the privacy rights of its users.

LinkedIn’s industrywide reputation as a job networking site would be hit hard if users believed their privacy was being exploited; however the site in recent years has become very valuable for job-hunters who may feel that the relationship is a win-win.

LNKD stock is down 23% year to date.

More Social Media Stock News

• LinkedIn Stock Suffering from Low Growth, No Profits
• Here Comes Another Leg Up in Facebook Stock!

Source URL: https://investorplace.com/2014/06/lnkd-linkedin-lawsuit-hacking-users-email/

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