Sony sued over PlayStation Network hack

Apr 29, 2011
Sony is being sued in US court by gamers irked by news that a hacker cracked PlayStation Network defenses and pilfered data that could potentially be used for fraud or identity theft.

Sony is being sued in US court by gamers irked by news that a hacker cracked PlayStation Network defenses and pilfered data that could potentially be used for fraud or identity theft.

Separate cases filed in different district courts in California on Wednesday accused Sony of being negligent and breaching its contracts with PlayStation Network users.

Both suits seek damages and class action status.

Sony did not comment on the lawsuits Thursday, but said it was working with investigators and would restore services only when it was confident it was secure.

The PlayStation Network and Qriocity streaming were turned off on April 20 in the wake of an "external intrusion," according to Sony spokesman Patrick Seybold.

"We are currently working with law enforcement on this matter as well as a recognized technology to conduct a complete investigation," Seybold said in a blog posted Thursday on the PlayStation website.

"This malicious attack against our system and against our customers is a criminal act and we are proceeding aggressively to find those responsible."

Fact file on a cyber attack on Sony's PlayStation 3 network. The company has warned that hackers stole password, birthday and other data about users of the online gaming system.

Launched in November 2006, the PlayStation Network allows PlayStation console users to play games online, challenge others on the Internet, stream movies, or get other services.

The Japanese electronics giant said it was possible hackers had taken users' credit card data

"While all stored in our systems is encrypted and there is no evidence at this time that credit card data was taken, we cannot rule out the possibility," Seybold said, warning that "...we are advising you that your credit card number and expiration date may have been obtained."

Sony said it had emailed all 77 million PlayStation Network users worldwide to warn them that their data may have been stolen.

The filed in Southern California on behalf of a Michigan PlayStation Network user contended that the resulted from Sony's "failure to use reasonable care and maintain appropriate security procedures."

The lawsuits also faulted for not alerting PlayStation Network users until April 26th about the hack, which the company reportedly discovered between April 17 and 19.

Stolen data included people's passwords, birthdates, and other personal information that could be used to hack into online accounts or impersonate them on the Internet.

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dieseltaylor
not rated yet May 01, 2011
If I recall rightly nobody is paying to use the Sony Network so in most jurisdictions this would be frivolous. If they were unreasonably negligent AND you were to suffer a loss due to this hack, then there may be a cause.

However the chances of proving that a fraudulent use has been made and can only be via the Sony hack must be slim.

I am in favour of corporations paying for losing details but would think it in the $10 a user bracket, and a repeat loss say $50. The cost off data breaches has to be enough to make companies become very careful and if they encrypt details and separate them perhaps a sliding scale is suitable.