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Sony Sued Over PSN Security Issues, PSN Terms Exclude Liability


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179w ago - Update #2: [Register or Login to view links] 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: [Register or Login to view links] 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 [Register or Login to view links] 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 [Register or Login to view links]: "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 [Register or Login to view links], 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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#1 - PS3 News - 180w ago
Today SCEE Blog Manager James Gallagher alongside Senior Director Patrick Seybold via the [Register or Login to view links] have posted update details on the PSN service outages, stating outside attacks may be a possible cause.

To quote: I wanted to take this opportunity to clarify a point and answer one of the most frequently asked questions today.

There’s a difference in timing between when we identified there was an intrusion and when we learned of consumers’ data being compromised. We learned there was an intrusion April 19th and subsequently shut the services down. We then brought in outside experts to help us learn how the intrusion occurred and to conduct an investigation to determine the nature and scope of the incident. It was necessary to conduct several days of forensic analysis, and it took our experts until yesterday to understand the scope of the breach. We then shared that information with our consumers and announced it publicly this afternoon.

For those who were looking there’s also an FAQ with some more [Register or Login to view links]. Thank you for your continued patience and support.

I know you are waiting for additional information on when PlayStation Network and Qriocity services will be online. Unfortunately, I don’t have an update or timeframe to share at this point in time.

As we previously noted, this is a time intensive process and we’re working to get them back online quickly. We’ll keep you updated with information as it becomes available. We once again thank you for your patience.

We sincerely regret that PlayStation Network and Qriocity services have been suspended, and we are working around the clock to bring them both back online.

Our efforts to resolve this matter involve re-building our system to further strengthen our network infrastructure. Though this task is time-consuming, we decided it was worth the time necessary to provide the system with additional security.

We thank you for your patience to date and ask for a little more while we move towards completion of this project. We will continue to give you updates as they become available.

An external intrusion on our system has affected our PlayStation Network and Qriocity services. In order to conduct a thorough investigation and to verify the smooth and secure operation of our network services going forward, we turned off PlayStation Network & Qriocity services on the evening of Wednesday, April 20th.

Providing quality entertainment services to our customers and partners is our utmost priority. We are doing all we can to resolve this situation quickly, and we once again thank you for your patience. We will continue to update you promptly as we have additional information to share.

As you are no doubt aware, the current emergency outage is continuing this afternoon and all Sony Online Network services remain unavailable.

Our support teams are investigating the cause of the problem, including the possibility of targeted behaviour by an outside party. If the reported Network problems are indeed caused by such acts, we would like to once again thank our customers who have borne the brunt of the attack through interrupted service.

Our engineers are continuing to work to restore and maintain the services, and we appreciate our customers' continued support.

While we are investigating the cause of the Network outage, we wanted to alert you that it may be a full day or two before we're able to get the service completely back up and running.

Thank you very much for your patience while we work to resolve this matter. Please stay tuned to this space for more details, and we'll update you again as soon as we can.

For further information, please refer to updates on PlayStation.com our [Register or Login to view links] twitter feed.





Finally, for those wondering PSN error 80710A06 simply means "Issue with the system: The PlayStation 3 system encounted an issue" according to Sony's [Register or Login to view links].

Sony Details Update on PSN Service Outages, Possible Attacks

Sony Details Update on PSN Service Outages, Possible Attacks

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