Zoom to Pay $85M Settlement to End Lawsuit over Privacy Violations and 'Zoom bombing'

Teleconferencing giant Zoom has reportedly agreed to pay $85 million to settle a lawsuit that accused the company of violating user privacy and enabling “zoom bombing,” in which trolls would join users’ chats without an invitation.

Engadget reports that teleconferencing service Zoom is suffering the consequences of its previous security lapses. Zoom rose to prominence amidst the coronavirus pandemic as many began using the software for work, school, and socializing.

Breitbart News reported in April of 2020 that the CEO of the video conferencing company apologized in a blog post over the various security issues that its 300 million daily participants faced on the platform. CEO Eric Yuan announced a number of measures that the company would be taking to make the app more secure as millions of Americans use the app to work and study from home. Breitbart News covered the criticism of the company over its lack of action on “Zoom bombing.”

Now, Judge Lucy Koh has stated that the company was largely protected against zoom bombing claims thanks to safeguards provided by Section 230 of the CDA, which essentially states that online platforms cannot be held responsible for user actions.

If the privacy lawsuit against Zoom receives class-action status, affected users could potentially receive a payout from the company. Subscribers to Zoom’s premium service would receive a refund of either 15 percent or $25, while everyone else was eligible to receive up to $15. Lawyers intended to collect up to $21.25 million in legal costs from the $85 million settlement.

In a statement, Zoome denied any wrongdoing and said that privacy and security were “top priorities” for the company. Zoom previously agreed to settle a Federal Trade Commission complaint over the company’s privacy issues.