Sony Sued Over PSN Security Issues, PSN Terms Exclude Liability


156w ago - Update #2: MCST.ca has reported that Canadian Natasha Maksimovic has also filed suit (PDF) against Sony via McPhadden Samac Tuovi LLP for the recent PSN security breach.

Update: MSNBC now reports that Sony's database may already be on sale in an online bazaar, stating that that low-level cybercriminals using "carder" online forums were offering to sell a database of 2.2 million credit-card numbers taken during the PlayStation Network breach.

As a result of yesterday's confirmation from Sony that PSN account information has been compromised, today class action lawsuits are forming against the corporation despite a T&C disagreement that states Sony is not liable for loss of data.

To quote: "We exclude all liability for loss of data or unauthorised access to your data, Sony Online Network account or Sony Online Network wallet and for damage caused to your software or hardware as a result of using or accessing Sony Online Network," the terms state.

According to the documentation, the first of many defendants is Kristopher Johns, 36, of Birmingham, Alabama.

To quote from CNET: "Sony sued for PlayStation Network data breach

Like clockwork, the first lawsuit resulting from the security breach of the personal data of more than 75 million Sony PlayStation Network customers has been filed.

The suit was filed today on behalf of Kristopher Johns, 36, of Birmingham, Ala., in the U.S. District Court for the Northern District of California. Johns accuses Sony of not taking "reasonable care to protect, encrypt, and secure the private and sensitive data of its users."

He also believes Sony took too long to notify him and other customers that their personal information had been exposed. Because of that, the complaint alleges, Sony did not allow its customers "to make an informed decision as to whether to change credit card numbers, close the exposed accounts, check their credit reports, or take other mitigating actions."

The lawsuit is asking for monetary compensation and free credit card monitoring, and is seeking class action status.

Yesterday, Sony warned customers of its PlayStation Network and Qriocity service that their personal information--including customer names, addresses, e-mail addresses, birthdays, PlayStation Network and Qriocity passwords, and user names, as well as online user handles--was obtained illegally by an "unauthorized person" between April 17 and 19. The company says there is "no evidence" that credit card information was compromised, but it can't be sure yet.

In the aftermath of the breach Sony has temporarily turned off PlayStation Network and Qriocity, contracted with an outside security firm to investigate the intrusion on its network, and started to rebuild its system and security.

Johns' complaint echoes the concerns of Sen. Richard Blumenthal, a Connecticut Democrat. Blumenthal yesterday wrote a letter to Jack Tretton, president and chief executive of Sony Computer Entertainment America, saying he was troubled that the company had not notified customers sooner about the breach. He also called for Sony to provide affected customers with financial data security services, including free access to credit reporting services for two years to protect against identity theft."

Also from IGN, to quote: "Sony Sued for PSN Security Breach - Class action lawsuit filed this morning against SCEA.

A class action lawsuit was filed against Sony a day after the company publicly admitted that personal information from PlayStation Network was compromised by a security breach. The lawsuit was filed by the Rothken Law Firm today in a California court and alleges Sony "failed to take reasonable care to protect, encrypt, and secure the private and sensitive data."

Yesterday, Sony said it believes an unauthorized person obtained PSN user information, including members' names, addresses, birthdays, and login passwords. The company said there was no evidence that credit card information was stolen, but did not rule out that possibility.

"We brought this lawsuit on behalf of consumers to learn the full extent of Sony PlayStation Network data security practices and the data loss and to seek a remedy for consumers. We are hopeful that Sony will take this opportunity to learn from the network vulnerabilities, provide a remedy to consumers who entrusted their sensitive data to Sony, and lead the way in data security best practices going forward," said Ira P. Rothken an attorney who filed the class action complaint.

"Sony's breach of its customers' trust is staggering. Sony promised its customers that their information would be kept private. One would think that a large multinational corporation like Sony has strong protective measures in place to prevent the unauthorized disclosure of personal information, including credit card information. Apparently, Sony doesn't," commented J.R. Parker, co-counsel in the case.

The lawsuit seeks monetary compensation for the data loss and "loss of use of the Sony PlayStation Network, credit monitoring, and other relief according to proof."












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GrandpaHomer's Avatar
#341 - GrandpaHomer - 154w ago
Also - one quite suspicious aspect about all this is the "moving to the more secure location" - why would they need to do that if it was purelly outside attack? Or did they hosted it untill now in somebody's bedroom or what??

daveshooter's Avatar
#340 - daveshooter - 154w ago
“a very carefully planned, very professional, highly sophisticated criminal cyber attack,”

This may be true Sony, but they would of needed some small amount of inside help one way or another, whether you admit that or not.

I still do not believe the group that allegedly did this will harm anyone other than pissing off Sony, and if reports come out that they are selling this info, then it will most likely to be fake or some kind of entrapment lol.

Sony was told about this months ago, they didn't find this, Sony didn't know they had a shadow on their system nor would they have, until they was told.

If I remember they was told Sony's system was insecure and needed addressing for the public's safety, and Sony being Sony thought they knew best and did nothing, so the group being the Jedi's nights luckily in this matter have saved the day and saved the data from the evil Sony empire and the black market, and made Sony sit up and smell the coffee and take note to stop this data getting into the wrong hands.

PS3 News's Avatar
#339 - PS3 News - 154w ago
Interesting indeed, +Rep for the update GrandpaHomer.

GrandpaHomer's Avatar
#338 - GrandpaHomer - 154w ago
Bloomberg reports:

Amazon.com Inc. (AMZN)’s Web Services cloud- computing unit was used by hackers in last month’s attack against Sony Corp. (6758)’s online entertainment systems, according to a person with knowledge of the matter.

Hackers using an alias signed up to rent a server through Amazon’s EC2 service and launched the attack from there, said the person, who requested anonymity because the information is confidential. The account has been shut down, the person said.

The development sheds light on how hackers used the so- called cloud to carry out the second-biggest online theft of personal information to date. The incursion, which compromised the personal accounts of more than 100 million Sony customers, was “a very carefully planned, very professional, highly sophisticated criminal cyber attack,” Sony has said.

Drew Herdener, a spokesman for Seattle-based Amazon, declined to comment.

“We’re continuing to work with law enforcement in an ongoing investigation into the situation,” said Patrick Seybold, a U.S. spokesman for Tokyo-based Sony. “As such, we will not comment further on this matter.”

The hackers didn’t break into the Amazon servers, the person said. Rather, they signed up for the service just as a legitimate company would, using fake information.

Even so, the breach at Amazon is likely to call attention to concerns some businesses have voiced over the security of computing services delivered via others’ remote servers, referred to as cloud computing.

Cloud security is Amazon’s top priority, Chief Executive Officer Jeff Bezos said at an event sponsored by Consumer Reports magazine this week.

Rented Servers

“Data security is one of these great dynamic situations where the bad guys get better, and the good guys have to keep getting better too -- it’s not a static situation,” Bezos said, Fast Company’s website reported. “I don’t think this is ever going away -- it’s like trying to say that you’re going to get crime to go away.”

The use of a hijacked or rented server to launch attacks is typical for sophisticated hackers. The proliferation of server farms around the globe has made such misdirection easier, said E.J. Hilbert, president of the security company Online Intelligence and a former FBI cyber-crime investigator.

The Federal Bureau of Investigation will likely subpoena Amazon as part of its investigation process, or it may try to obtain a search warrant, Hilbert said.

“The subpoena will give law enforcement a history of the transactions,” or who had access to the specific Internet address at that time, Hilbert said. “The search warrant will get them more detailed information, including payment information and which credit card was used.”

Amazon Service

Herdener declined to say whether Amazon has been subpoenaed or served with a search warrant.

FBI Special Agent Darrell Foxworth, a spokesman for the agency’s San Diego office, said he couldn’t comment on whether the agency had served Amazon with a search warrant or subpoena.

“We are following up on each and every lead,” Foxworth said.


Source: http://www.bloomberg.com/news/2011-05-13/sony-network-said-to-have-been-invaded-by-hackers-using-amazon-com-server.html

And just on the side note:
“The search warrant will get them more detailed information, including payment information and which credit card was used.”
Surely only idiot would use his / her own credit card for that - it it was so "highly sophisticated criminal cyber attack" then they'd either use the stolen card or prepaid one. Either way this lead would be pretty much useless. And indeed, in the same terms - from which location / IP was the transaction performed and any consequentuall access to the rented cloud space done.

And - for those liking the bit of conspiracy - why not assume that even the Amazon "failure due the the update / backup" was not for example another part of the cover up of the attack to Sony?

anon777's Avatar
#337 - anon777 - 154w ago
i know right..













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