back to article Texas sues GM for selling driver data to analytics, insurance companies

Texas has sued General Motors for what it said is a years-long scheme to collect and sell drivers' data to third parties - including insurance companies - without their knowledge or consent.  The lawsuit [PDF], filed yesterday in Texas state court, accuses both GM and its OnStar subsidiary of using telematics technology …

  1. Dostoevsky Bronze badge

    Awesome!

    I'm proud of the TXAG—we need more of this!

    1. Andrew Scott

      Re: Awesome!

      didn't he get impeached?

      1. Dostoevsky Bronze badge

        Re: Awesome!

        Yep. Then he was acquitted. He's a politician, so clearly he's not a straight dealer, but IDK whether he actually did anything worthy of impeachment.

        1. mikeinaustin

          Re: Awesome!

          Paxton reached a deal in March just weeks before his criminal case on securities fraud charges was set to go to trial. In exchange for having his charges dismissed, Paxton agreed to do 100 hours of community service, complete 15 hours of legal ethics classes and pay about $300,000 in restitution to the victims. He did not admit any wrongdoing.

          Paxton was indicted in July 2015 for failing to inform friends that he would make a commission off their investment in a North Texas tech company and for neglecting to register with the state as an investment adviser.

          Now he's threatening suing the Texas State Fair that that they are blocking AR15s onto Texas State Fair grounds claiming it's anti 2A.

          Texas has a 30.06 low (yeah) that allows private businesses to determine if they are to allow firearms onto their property, and stopping firearms from being in places where liquor is sold, like the State Fair.

          He would lose, but he's grabbing for headlines to appeal to those folks that want to "carry" into Subways and Raising Canes to "own the libs"

    2. Anonymous Coward
      Anonymous Coward

      Re: Awesome!

      when will he go after X, Meta, Google, Apple and all the others?

  2. Paul Crawford Silver badge

    Texas is not a state with whom I usually agree, but in this case I hope they spank GM and the related brokers & insurers so hard they (metaphorically) can't sit for years!

    1. Doctor Syntax Silver badge

      How about requiring them to compensate all the drivers whose data they sold for every penny they got from the sale plus interest. And the end purchasers to compensate them for every penny of the gains they made from the data, plus interest.

      1. cdegroot

        How about just tossing the GM CEO in jail.

        That will end such shenanigans very quickly, and across the industry.

        A financial slap on the wrist? GM will just declare bankruptcy, let tax payers bail them out, and continue as they were with execs with well-lined pockets.

        1. A random security guy

          Bankruptcy is complicated, especially if exec compensation is pegged to or is partly in stock.

          Execs are least likely to try save a company if their own stick goes to zero b

      2. Alan_Peery

        Returning profits of data theft not enought

        It seems to me that calls for a significant penalty multiple. I'd suggest 20x, in symmetry with the school speed limit and GM's lack of basic knowledge they should have gained in grade school.

    2. Brian 3

      I heartily DISAGREE with this. Is your driving data worth to you only what GM was willing to sell it for in bulk? I don't think so. Compensation needs to be appropriate to the crime here.

  3. Cav Bronze badge

    Texas did something good?!

    Oh look, a flock of flying pigs under a blue moon!

    1. Brian 3

      Don't worry, it's not "done" yet - they have PLENTY of chances to drop the ball and then fumble it into the other goal... six or seven times.

  4. Brave Coward

    Go on, Texas !

    "Millions of American drivers wanted to buy a car, not a comprehensive surveillance system that unlawfully records information about every drive they take and sells their data to any company willing to pay for it."

    Yes. And billions of people worldwide wanted to buy a phone, not a comprehensive surveillance system that unlawfully records information about everything they do and sells their data to any company willing to pay for it.

    Still a long way to go, Texas !

    1. Blazde Silver badge

      Re: Go on, Texas !

      I give it about 20 years and we won't be able to buy a kettle that isn't a comprehensive surveillance system that unlawfully records information about everything we do and sells our data to any company willing to pay for it.

      "I'm sorry sir, your health insurance premium has risen significantly yes. I'd recommend you put less sugar in your coffee and we'll see what the computer says next year. You really shouldn't be letting so many dirty dishes pile up either. Tidy house tidy mind!"

      2015 was probably around the time people worrying about car manufacturers selling data to insurance companies were labelled paranoid.

  5. Alan Mackenzie

    ... and a slap on the wrist settlement to follow.

    Where is the intention to punish all involved in this criminality? Who's going to be going to gaol?

    Ah, nobody! There won't be a trial, there'll be a settlement for a few dollars where GM don't admit wrongdoing. And there'll be no requirement to destroy the illegally collected data.

    As for compensation for Texan drivers who are the victims, here. Hah!

    Yes, the USA. The best justice money can buy!

    1. DoctorNine

      Re: ... and a slap on the wrist settlement to follow.

      Well historically, these kinds of lawsuits happen in East Texas, because someone is looking for a deep pocket to pick. In this case, GM. And politically, the conservative AG gets to wank over a notable Democrat supporter. There are House and Senate seats to consider. It would be more likely that the State of Texas gets the payday at the end of the game. But yes. No mere plebes are going to see any serious money. Maybe a buck and a half if you send in the right form to the AG.

  6. ecofeco Silver badge

    They're just mad

    https://www.dallasnews.com/news/watchdog/2021/07/01/good-news-your-personal-information-will-no-longer-be-sold-by-the-state-to-marketing-companies/

    Texas has been doing it for years.

    They're just mad they aren't getting a cut.

    And while the above article is about a bill to stop doing so, look at the long list of exceptions and also realize, it's not law, yet. So don't count those chickens just yet.

    1. veti Silver badge

      Re: They're just mad

      Texas is flush with its success over Meta, and it sees the opportunity to grab another billion or so dollars without having to touch its own taxpayers.

      Personally, I find it kinda disturbing. Who even expects "privacy" about when and where they drive their car? I certainly assume everywhere I drive will be logged somewhere, by someone, and have assumed that for years, long before telemetry in the actual car was a thing.

      1. Neil Barnes Silver badge

        Re: They're just mad

        Do I expect that my driving habits will be logged somewhere? Yes: I learned to drive in the UK, which (since then) evolved a network of number plate recognition cameras.

        But that's just my publicly visible data, mostly logged either for traffic management or occasionally law enforcement. And to be honest, I don't feel too bad about a car being identified as being driven uninsured or untaxed, or exceeding the speed limits through an average speed measurement. I could even live with a voluntary monitoring system if it would reduce my insurance (though I have never been seriously tempted because of the lack of context monitoring).

        What I do not expect is that every aspect of a vehicle's operation, its internal state, control inputs, location, speed (and possibly the colour of my shirt) not only be metered without my consent but sold to third parties, equally with no notification or consent. I will do my very best to avoid even being in such a vehicle.

        But don't conflate private and public monitoring.

        In short: it's none of their fucking business.

    2. el_oscuro

      Re: They're just mad

      My first thought was that they want that info themselves for their new abortion police squads.

      1. Anonymous Coward
        Anonymous Coward

        Re: They're just mad

        Well maybe, but more likely they will be writing out 36 million backdated speeding and dangerous driving tickets. Ker-ching.

        1. Version 1.0 Silver badge
          Facepalm

          Re: They're just mad

          Nothing odd now because it's expensive to be poor in America.

  7. Anonymous Coward
    Anonymous Coward

    And….

    …my old car just got itself another 5 or more years.

    1. Mishak Silver badge
      Black Helicopters

      Ah, but...

      What about the chips in the oil and spares they put in when it's serviced?

  8. Sherrie Ludwig

    My first thought...

    Was that some Texas legislator got his insurance premiums hiked for driving fast, and decided to spread the pain around a bit.

  9. JavaJester
    Stop

    Crazy Idea -- Privacy Law

    I have a crazy idea -- hear me out now -- that the US adopt an EU-style privacy law based around informed consent. Currently, car policies are a surveillance nightmare and even include things like sexual activity as fair game. Unless you like the idea of any random company knowing your most intimate details, a proper privacy law is necessary. Such a law should make some things, such as sexual activity, sensitive financial information when not extending credit, etc. presumptively off limits.

    1. Dostoevsky Bronze badge

      Re: Crazy Idea -- Privacy Law

      Not at the federal level! That's for the states' legislatures to handle.

      Why? Because I know where my state reps live.

  10. mikeinaustin

    Everyone does this

    Tesla next!

    The car companies are saying they need to keep the microphone on and listen to interior conversations looking for key words for "voice activation" and that if you don't agree to the Terms and Conditions that constantly change, they may not be able to provide you software updates that may effect the safety and security of your car.

    This needs to be a Federal ruling, not this States "rights" Malarky.

  11. Anonymous Coward
    Anonymous Coward

    So next up, anyone fitting Car Android?

    My car has it, and it tries pretty much every trick in the book to grab more data, like only offering GPS retention when you log in (translated: give Google more details to identify you with so it knows who drives where).

    And no, not my choice.

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