A web-based company may be more complicated to file a lawsuit against than others. They do not have physical locations and exist only in the form of a website, with all business matters conducted online, including sales and revenue.
What would cause someone to sue a web-based business? Numerous websites publish personal information without permission. The Supreme Court ruled that someone may sue a website for giving out false or inaccurate personal information only if they can prove that they suffered “concrete, actual, or imminent injury” due to the publication of the information. This includes:
Unfortunately, one cannot sue a website for publication without this evidence, even if the information is not true.
If you have questions about whether you should sue a website for such a case, contact an M&A attorney in Miami.
However, there are different rules for nonpublic financial information under the Gramm-Leach-Bliley Act. This federal law limits the type of nonpublic personal information a financial institution may disclose to third parties. A financial institution is any entity that is significantly involved in various financial activities, such as car dealerships, banks, and credit unions.
Institutions under the GLBA must disclose which nonpublic personal information is being collected, how it will be used, and who it will be shared with. If the business is disclosing that information to third parties, then they must offer an opt-out.
To learn more about protecting your business’s information online, contact our corporate law firm in Miami.