Provider of videoconferencing and online chat services provider Zoom Video Communications Inc. (ZM) has reached an agreement to pay $85 million as settlement in a lawsuit which Zoom is being accused of violating users’ privacy rights by sharing personal user data with other entities including Google, LinkedIN and Facebook.
The company was also accused of allowing hackers to disrupt Zoom meeting in what has been dubbed Zoombooming. This provisional settlement was filed four days ago and it now awaits the approval of U.S. District Judge Lucy Koh in San Jose, California.
Zoom subscribers in this proposed class action will be eligible for 15% refunds on their core subscriptions or $25 whichever will be more. The rest of the subscribers will be eligible to receive $15.
The company also agreed to some security measures including notifying users when meeting hosts or other participants when other participants in the meeting use third party apps. In addition, Zoom will provide specialized training to employees on privacy and data handling.
“The privacy and security of our users are top priorities for Zoom, and we take seriously the trust our users place in us,” said Zoom.
