In 2020, the Office of the Australian Information Commissioner (OAIC) brought action against Facebook Inc. for breach of the privacy of thousands of Australian citizens. The matter has yet to be decided in the Federal Court of Australia but it has grabbed eyeballs worldwide since it can have major ramifications for the social media giant who is already under the scanner of various governments due to its faulty policies and especially in the wake of the Cambridge Analytica scandal that it has been embroiled in. The present case also has connections to the scandal.
Facts of the case:
- The OAIC has initiated proceedings against Facebook Inc. by filing an originating application, a statement of claim and a concise statement in the Federal Court of Australia
- As per the claims of the OAIC, Facebook Inc. has repeatedly interfered with the privacy of 311,127 Australian Facebook users which is in violation of the Privacy Act (Federal Privacy law of Australia in force since 5 November, 2018).
- A personality quiz formulated by Dr. Aleksandr Kogan named ‘This is your Digital Life’ would run on Facebook obtaining the personal information of users of Facebook and their friends on Facebook (without the consent of the friends). This information would be sold by Mr. Kogan’s company to third parties for profit including that of Cambridge Analytica (this company has been alleged to have played a role in elections).
- Facebook has allegedly not reviewed the third party applications’ privacy policies and how they manage the data of its users which is a violation of the Australian Privacy Principles.
- As per the OAIC, the primary purpose for which Facebook collects data has been compromised since third party apps are collecting data for secondary purposes without notifying the individuals which is a major breach of the principle of consent as enshrined in the Privacy Act, 1988.
Major contentions of the case:
- The Federal Court of Australia had to primarily answer some very pressing questions related to the extra territoriality of the Act and if Facebook Inc. is subject to the laws of Australia.
- It was held by the Court that Facebook Inc. indeed has dealt with the data of Australian citizens. This was proved by the knowledge that Facebook Inc. although not headquartered in Australia but collects personal information of Australian citizens by the servers located in Australia.
- Leave was granted to the OAIC to serve notices on Facebook Inc. in California and Ireland to respond to the claims of the OAIC.
Current status:
The matter is sub-judice and it is yet to be seen what the final ruling shall be in the matter. In the initial proceedings, the ruling of the Federal Court has made it amply clear that the Privacy Act is also applicable to Facebook despite its submissions to the contrary.
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