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Furor Over Google CEO’s Comments On Privacy

One of the big themes of the week is privacy. Facebook just did a major overhaul of its privacy settings to promote more public dissemination of user information and updates. There was an immediate outcry from some quarters as the site was a bit aggressive in setting users’ defaults to “everyone.”
In addition, Yahoo got called out [...]

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The Price of One Anonymous Comment? Your Job

gavelMost of us have blogs, right? How do you react to anonymous vulgar comments? Hit SPAM, right? Yeah, me too. And so did the Director of Social Media for the St. Louis Post-Dispatch Kurt Greenbaum. The first time. But when the anonymous commenter again posted the single-word vulgarity, Greenbaum tracked his IP address—to a school.

Probably thinking he was reporting a misbehaving student, Greenbaum contacted the school and explained the situation. Six hours later, the school called back: they’d found the commenter—an employee. After they confronted him, the employee resigned.

Most of us probably have an intrinsic notion that the anonymous commenter and Greenbaum both acted inappropriately (although there was no way for Greenbaum to know he was turning in an employee and not a student)—but perhaps the more important question is whether they were acting legally.

Greenbaum, a Post-Dispatch employee, should be bound by the paper’s online privacy policy, which states:

We will not share individual user information with third parties unless the user has specifically approved the release of that information.

However, at the beginning of the policy, they stipulate that “Your IP address does not contain personally identifiable information, nor does it identify you personally.” So is that individual user information? Sounds like it’s not.

And the Post-Dispatch’s ToS is an exercise in CYA (they define “submission” to include comments):

  • You automatically waive any claim that any use of such content violates any of your rights, including privacy rights, publicity rights, moral rights or any other right, including the right to approve the way we use such content.
  • You are responsible for the content of all Submissions and acknowledge that third parties may hold you responsible for content related claims including libel, invasion of privacy, misappropriation of likeness and disclosure of confidential information.
  • You shall indemnify, defend and hold us, our parent company and our affiliated entities (including our officers, directors, owners, agents and employees) harmless from all liability and costs incurred by those indemnified in connection with any claim arising out of any breach by you of the above representations and warranties and for any claims related to the content or your Submissions.

And, naturally, the ToS stipulates that using the site to “upload, post, email, transmit or otherwise make available content that is harmful to minors in any way, or that is harassing, harmful, threatening, abusive, vulgar, obscene, defamatory, libelous, hateful, or racially, ethnically or otherwise objectionable” violates the ToS, too.

And how were Anon’s actions illegal? Well, setting aside possible obscenity charges (while legally problematic, “obscenity” is not protected under the First Amendment), the school probably also has policies—policies that dictate the use of school resources. Most likely, this comment was made on school time, from a school computer, using the school’s Internet connection. Somehow, I can’t imagine there’s a provision in the policy that allows for use of school resources for posting vulgar comments online. By violating these policies, the employee could face discipline or even termination.

What do you think? Would these policies hold up in court?


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Facebook Sued for Stifling Competition, Click Fraud

facebook2It’s a saga we’re all familiar with by now: create a pretty awesome web service, start a trend, become a media sweetheart, make lots of money (VC or acquisition), get slapped with a lawsuit. Or two. Or fifty billion. Facebook added two more lawsuits to its heap recently: a countersuit from Power.com and a click fraud proceeding.

Facebook filed suit against Power.com in December. Facebook claimed the one-stop social-media aggregator was infringing upon their copyright, violating their TOS and scraping proprietary data. At the time, we weren’t sure whether “proprietary data” included user information.

Power.com finally decided not to take this sitting down. TechCrunch reports that Power.com has now filed a countersuit, claiming Facebook is “unlawfully withholding the data that users own (as stated in Facebook’s own ToS), and is stifling competition by refusing to allow third party services like Power.com to access the data, among other things.”

Facebook also faces legal action from RootZoo, an erstwhile advertiser. After analytics from their Nov 2007-June 2008 campaign varied greatly from Facebook’s reported data, RootZoo requested Facebook’s logs and a refund. Facebook said no to both.

RootZoo’s complaint uses 2 June 2008 as an example of the discrepancies between the two. While Facebook reported 804 clicks on their ads, RootZoo’s analytics programs show 300 clicks from the social networking giant.

While there have been rumblings about Facebook click fraud for some time, this is the first suit in the matter.

What do you think? Does Facebook have anything to worry about from these legal claims against it? Is there anyway to avoid getting slapped with lawsuits once people see you’re making some money?

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