Pennsylvania's attorney general is suing the San Francisco-based ride-hailing company, saying it broke state law when it failed to notify drivers for a year that hackers stole their personal information.
Of course, Uber isn't the first company targeted by hackers, but Shapiro isn't suing Uber because of the data breach. The stolen data included names, email addresses, phone numbers and driver's license numbers. The company is now facing a lawsuit from the state of Pennsylvania for failing to immediately disclose the data breach.
Shapiro has the power to sue Uber for $1,000 per violation against a Pennsylvania resident, which adds up to roughly 13,500 violations.
Uber violated consumer protection laws when it delayed notification about a data breach, Pennsylvania's attorney general says. Shapiro said in a press release it was an "outrageous corporate misconduct" that instead of informing its consumers, the company paid up hackers to buy their silence.
Instead of notifying users when the company learned of the breach in 2016, Uber paid the hackers $100,000 to delete the data they got ahold of and keep the hack quiet.
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In a statement, a spokesperson for Uber said the company "investigated the incident, disclosed the circumstances to state and federal regulators, and reached out to state Attorneys General, including Attorney General Shapiro, to express Uber's desire to cooperate fully with any investigations".
Many states have very broad definitions in their data breach notification laws, Chwastyk said. "While I was surprised by Pennsylvania's complaint this morning, I look forward to continuing the dialogue we've started as Uber seeks to resolve this matter", he wrote.
During the same time as the Uber data breach, Equifax also experienced a substantial data breach that impacted around 5.5 million Pennsylvanians. "While we dispute the accuracy of some of the characterizations in the Pennsylvania Attorney General's lawsuit, we will continue to cooperate with them and ask only that we be treated fairly".
Shapiro said the theft of drivers' license information is a concern as it may leave persons vulnerable to identity theft, as thieves who gain access to the information use it to establish phony credit card accounts and run up huge debts in consumers' names. The attack exposed the personal information of 57 million people.
An Uber spokesman declined immediate comment.
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