Court Expands When Companies Using Online Customer Data Could Face Privacy Claims

A recent Ninth Circuit ruling raised the bar for data privacy. It could allow courts to hold companies liable for consumer privacy violations in any state where users access their services.

The ruling has far-reaching implications beyond just e-commerce companies. It sets a precedent that could affect any industry relying on cookies and tracking technologies to collect consumer data.

In the wake of this ruling, businesses may need to update their privacy policies, vendor assessments and tracking technology consent agreements to limit legal risk.

The Ninth Circuit Court of Appeals issued a landmark decision in Briskin v. Shopify, Inc. This ruling significantly broadened the scope of specific personal jurisdiction over e-commerce companies. In this case, Brandon Briskin, a California resident, claimed that Shopify, a Canadian e-commerce platform, unlawfully collected and monetized his personal data through tracking cookies installed during an online transaction.