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Rental Car Companies Watching By Satellite, Again

tlcruiser writes: "The Arizona Daily Star reports that Budget Rent-A-Car companies in Arizona have used satellite tracking systems to track customers' use without notifying customers. They have used the tracking system to issue fines to their customers. Several customers are suing Budget for the invasion of privacy." When ACME Rent-a-Car did this in Connecticut, it was found improper by that state's Department of Consumer Protection. This time, the monitoring is not only of speed, but also of whether renters are staying within contractually allowed driving territories.

27 of 412 comments (clear)

  1. Despicable practice by SpatchMonkey · · Score: 2, Insightful

    This is yet another travesty for our rights. If the government continues to help large corporations like this to spy on us, well .. George Orwell might just have been correct.

    With this and all the other tracking, we are no more than agents on a giant grid of numbers, slowly being calculated away to oblivion.

    1. Re:Despicable practice by Anonymous Coward · · Score: 1, Insightful

      The ONLY question here is that they used GPS to enforce their contract. And having used Budget before, I can say that there is a cause in their contract that says "We reserve the right to use technological measures to enforce limitations imposed within this contract".

      They used GPS to track movement ... that is NOT the same as using technology to enforce limitations. GPS can be used to track where and what you did (do u go to strip clubs? do you go to Alcoholics Anonymous meetings? ..etc. ...

      Nobody agreed to that kind of surveillance.

      And no, I dont trust Budget to not divulge or use that info.

      Don't believe me? Rent a budget car, go to strip clubs .. and then wait till they start sending you "targetted" ads for strip clubs to your home cause they'll think they know you like visiting them.

      Even worse, when a crime happens in a neighborhood that you happened to drive through .. you'll be called up by the feds as a possible suspect.

      Where's the 4th amendment then?

    2. Re:Despicable practice by 91degrees · · Score: 1, Insightful

      I feel that it it should not be too much to expect that any unusual rules should be spelled out in clear, and not somewhere in a page of 4pt text. When people go to a car rental company with a good reputation, they expect the company to behave in a fair manner. This is not a fair manner. They relied on their good reputation to discourage people from reading the agreement fully.

      Some of these rules were downright unfair. They were not negotiated, and not negotiable. This doesn't sound like a contract, just a company imposing a load of unfair arbitrary rules.

      It is therefore a con. Of course, the customer has to accept a lot of the blame for signing the contract. As ever, the victim of a con should not be so stupid as to fall for it, but this does not absolve the conman of responsibilty. If I sell someone the Brooklyn bridge, I am committing a crime, even though they were stupid. If I trick someone into accepting an unfair contract, I am also at fault even though they were stupid to sign it. The law does not allow unfair contracts.

    3. Re:Despicable practice by treat · · Score: 5, Insightful
      That being said, if you sign a contract, and agree to limit your use to specific terms and conditions, expect it to be enforced.

      The simple fact is that in our dealings with coroprations, we are frequently required to agree to large, complex, one-sided agreements. People sign (or otherwise agree to) these contracts because they really have no choice. Negotiating on the details of the agreement is simply not an option, and taking your business elsewhere may not be a realistic solution. Rarely are such contracts read - how many contracts have you agreed to without reading? I would imagine the number is in the thousands.

    4. Re:Despicable practice by Wavicle · · Score: 2, Insightful

      Actually you need to reassess your ideology, because you do not come across as a proponent of civil liberty. You seem to believe that hiding things in contracts where a lay person who does not scrutinize it with the skill of an experienced lawyer is okay. You sound like someone who is pro-big corporations squeezing the little guy.

      Businesses are held to a higher standard because it is known they can afford a legal team to draft and analyze a contract that hides details of abusive acts they intend to perform in order to squeeze more money out of a customer. If budget did not print in a large type face at the top of the rental agreement "We have a tracking device on the car that monitors where you are at all times and reports back to us and if you travel outside allowed boundaries you will be fined $1 for every mile you traveled inside or outside of those boundaries" then Budget is going to be in an uncomfortable spot.

      They charge $1 for every mile traveled if you take one step out of bounds? Now why would they do that? Maybe because they knew if they exercise that penalty option they will permanently lose a customer so it is important to get as much money as possible from them at that time. How many people will spend $7,500 on budget rental cars during their lifetime?

      That not withstanding, if they keep a record of where you've been, they have violated your *RIGHT* to privacy. If they have you sign away that *RIGHT* without some *CONSIDERATION* then that portion of the contract is probably going to be voided (I don't think "You get to drive our car which you are paying us for anyway" is going to hold up as consideration for signing away your right to privacy). Can an employer who is unhappy with people stealing stuff out of the executive washroom have you sign away your right to privacy in that bathroom? Here's a hint: NO THEY CAN'T. What if you're going through a messy divorce and your spouse's lawyer files a discovery subpoena for the logs of where you went with your rental car looking to create evidence suggestive of having an affair? Seems like quite an invasion of privacy now, doesn't it?

      In a Civil suit (which is what most of those suits are), Budget is in an uncomfortable position already. They are going to have to convince a jury that hiding the details of what they were doing doesn't represent an egregious abuse of their ability to hire a legal team to write such contracts.

      There are some things you just can't sign away. Adjust your political leanings accordingly.

      --
      Education is a better safeguard of liberty than a standing army.
      Edward Everett (1794 - 1865)
    5. Re:Despicable practice by puppet10 · · Score: 2, Insightful

      But are you fully comprehending all of the legal ramifications of the contract?

      Do you know all the relavent state and local laws of the region you just flew into?

      I'm sure the large team of lawyers who drafted the contract did, maybe we all need to have lawyers on retainer to run over the contract at the rental counter for us before we sign.

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    6. Re:Despicable practice by Wavicle · · Score: 3, Insightful

      Let me give you a real life example:

      My wife used to work for the company managing a high-class commercial office building. The type of building that attracts tenants like law firms that have a need to be in a fancy well maintained building in order to attract high paying clientele. In the bathrooms the management provided various nice toiletries for tenants and their customers or clients. In the women's bathrooms they provided tampons in nice hardwood cigar boxes. The problem was someone kept stealing the expensive cigar-turned-tampon box. What rights did the property owners (who ultimately paid for the box and its replacements) then have to protect their property rights and monitor the cigar box in the bathroom to see who was taking them?

      Answer: NONE

      Your right to protect your property from mis-use does not supercede the rights to personal privacy in an area where one should expect privacy.

      And in case you're wondering, nobody had the right to steal those boxes.

      --
      Education is a better safeguard of liberty than a standing army.
      Edward Everett (1794 - 1865)
    7. Re:Despicable practice by Ian+Bicking · · Score: 5, Insightful
      The ONLY question here is that they used GPS to enforce their contract. And having used Budget before, I can say that there is a cause in their contract that says "We reserve the right to use technological measures to enforce limitations imposed within this contract".
      The problem (in my mind) isn't really that they are tracking you to enforce their rules. It is that they are tracking you, and collecting significant information on you without your knowledge. It is the person who never violates the contract that has been violated -- moreso because they will never realize it.

      For instance, does Budget immediately and permanently destroy all information about your activities if they are not outside of your contract? Do they have measures to protect the security of your information from crackers? What information exactly do they collect? All information could be attained by law enforcement agencies, almost arbitrarily since PATRIOT. Destroying information won't help if the police get there first and make the people quietly keep the information.

      They need to have a clear notification that all your movement in the car is tracked. And it shouldn't just be in the contract -- it's not about the contract at all. They need a big sticker on the dashboard, saying "We track all your movement". That they can use that information to fine you is part of the contract.

      Of course, clearly presented with this information, Budget's revenue would probably drop precipitously as people would be seriously spooked by having their movements tracked. But that's as it should be. It's not a free market if parties are uninformed about the products being exchanged.

    8. Re:Despicable practice by Anonymous Coward · · Score: 1, Insightful

      So the owner of an apartment/duplex/house can enter the premises at any time to make sure it is being well kept, right? I mean if I want to make sure my tenants aren't cooking meth at 3 in the morning, I can walk in and check, right? The law varies from state to state, but most of them require at least 24 hours notice, and the inspection must take place during reasonable hours (meaning not 3am). Therefore I would say the law disagrees with you.

      And you said:

      The last two states I've lived in the answer to that was no. You can be inspected at anytime.

      Well, since it seems you currently live in Maine, check out:

      http://janus.state.me.us/legis/statutes/14/title 14 sec6025.html

      You will find that Maine requires 24hrs notice before the landlord can enter his own property. This is because the landlord gives up most of his rights to the property (other than ownership, etc.) in return for someone else paying his mortgage, child's college education, etc.

      Yes while you are travelling on public streets you do not have reasonable right to privacy from the public on those streets and anything, including satellites, that can see, hear, or sense you in that millieu. Still, while you are renting the vehicle (this is a lease and it is in your "sole posession") and it is effectively yours to do with as you please unless you violate a legal, fair clause of the contract. You do, in fact have a right to privacy (even if the contract says you don't - as you can't sign away that right without adequate compensation - i.e. they pay you, or rent you the car for a *significant* discount). If you don't believe me, check out lease law in your state. Now, some of these people did in fact violate a clause in the contract, some knowingly. The issue of legality and fairness is something that can be debated in the court cases to follow.

      The real privacy issue here is that the cars are tracked to non-public venues: hotels, businesses, etc. Yes, the car is tracked, not the person, but any court will stipulate that the car cannot be moved without a person and that the person in question is most likely the renter. The moment that vehicle enters an non-public location (private parking lots and garages included), the business *is* in fact violating privacy.

      In addition, car rental companies have not established a consistent past track record of enforcing the "in state" or "adjoining state" clauses of their contracts. Therefore, these clauses could be invalidated in court until they do so. This would require *extra* efforts on the part of the rental company to notify and alert the renter of the new enforcement efforts.

  2. Comment removed by account_deleted · · Score: 5, Insightful

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  3. Blocking the signal? by pla · · Score: 3, Insightful

    In my experience as a hiker, it takes very little to prevent a GPS receiver from obtaining a good lock. Now, I suppose these companies *could* literally track the cars by satellite, ala LoJack, but far more likely they just have a GPS receiver in the vehicle together with a transmitter that "calls home" every few minutes to report a position.

    So, for the EE geeks out there, what would it take to block (or render unintelligible) either signal, the GPS in or the position reporting out? Would this take an active device, or would some sort of hack as simple as wrapping the antenna in grounded metal foil work?

    Just a thought. I don't suppose this would actually work, the corporate scum probably have a clause in the contract that "if your car doesn't report home at least once per hour, we automatically charge you the maximum of every fine we can possibly think of."

  4. and so what? by Anonymous Coward · · Score: 2, Insightful

    You think maybe, just maybe, they have a right to keep track of their own property, and define the terms by which they'll let you use it? You don't like it, don't use their service. It's not like source code, that car cost them money to buy, it costs them money to keep running, and yes, it'll cost them money to replace.

    Personally, I don't want them keeping this data, but while you're renting the car, they should be allowed to keep it, and if you speed, or go outside the area in the contract, you pay the price for your violation. Then again, I wouldn't mind if half the cars in the world were taken off the road anyway. Too many people are too stupid to drive.

  5. Hmm. by VValdo · · Score: 5, Insightful

    I'm no expert, but it seems that one of two things will happen:

    1. As companies like ACME and budget start to use GPS to track their car's location/speed, there will be a small but inconsequential protest from consumers. Following the initial flurry of objections, other companies will see this as a potential source of revenue and will do it as well. Soon the practice of tracking customer whereabouts will become standard and given no alternative in the market, customers will just have to accept that whenever they rent a car, the company (and others, such as law enforcement or whomever) will know where the car is at all times.

    2. As companies like ACME and budget start to use GPS to track their car's location, there will be an overwhelming outpouring of disgust and fury from the consumer, resulting in organized boycotts against the offending companies. Other companies, seeing that the public is outraged by the privacy invasion, will not track their customers for fear of losing business. The practice of tracking customer's whereabouts will not gain traction, and people will be free to drive cross-country to cheat on their spouses without fear of anyone finding out.

    The question: Which scenario do you think is more likely, given what you know about modern-day America? Keep in mind that as we speak, an American citizen is being held under arrest indefinately by the government without charges being filed. Everyone knows it, but there is no rioting in the street.

    I say if you wanna "get away from it all" in the near future, better walk.

    W

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    This is my SIG. There are many like it, but this one is mine.
  6. They won't get away with this by Jucius+Maximus · · Score: 3, Insightful
    This issue is not quite like file swapping or obscure MSFT actions in adopting and then 'breaking' a standard for their own monopolistic purposes. A judge and jury will clearly understand what is happenning here without advanced terminology that you need to be a programmer to understand. It is a breach into peoples' privacy and it is wrong. The rental company will lose.

    1. "But the rental company *OWNS* the car and wants to make sure it is not misused!"

    Sure they own the car, but the importance of having personal privacy to the level where you are sure you are not being tracked/monitored wherever you drive outweighs the gains afforded by satellite tracking, even if the tracking is mentioned in an obscure location in the agreement. Keep in mind that car rental firms were somehow able to not go belly-up before they were able to track cars by satellite. It's not like the inability to use this technology will hamper their business.

    Chances are that the judge and jury all drive cars and understand the balance of rights and values that hang in the balance here. The right to not having your every move monitored is more important than the rental company's right to protect its property. This was proven the last time such a court case came up -- the driver won the case and got the charges revoked.

    2. "But the owner signed the contract for the car that said tracking was taking place! It's a CONTRACT!!"

    This is not some clickthru license that enables the software owner to keep track of your IP address. Juries don't understand what that means. The auto rental company did not properly inform the driver of what they were doing and that was wrong. Even the your grandmother will understand this.

    What I am trying to say is that this is an issue that even technophobes understand. The driver will win every time unless it was clearly explained that tracking was taking place.

  7. Comment removed by account_deleted · · Score: 4, Insightful

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  8. Re:Oh, what terrible people they are... by J23SE · · Score: 3, Insightful

    >>>
    I suppose one also must sue the cable companies, should they detect that you've split your cable feed so that you can share it with twenty of your neighbours; the scooter rental company at the beach, for putting a speed limiter on the bike; and the local theatre, for not letting you bring in your video camera.
    >>>

    That quest for protection ends where my privacy begins. And that VERY MUCH includes knowledge of everywhere I go, unless I agree to it explicitly. How would you feel if cable companies had the right to barge into your house to check if I've split the wire there. Or if theaters, in the search for protection, strip searched everyone who entered, to ensure there was no camera?

    Yeah, that's how you should feel about this. Limiting the speed on the engine and using other methods (like flipping a switch if away from a radar transmitter, or something) would do the trick just fine.

    You're done.

  9. You think this is bad? by acceleriter · · Score: 4, Insightful
    This got you pissed off? I give it ten years before U.S. insurance companies start providing generous "discounts" on your (state mandated) insurance in return for you allowing similar black-box technology. (Cynics like me would call this a surcharge for not allowing it.)

    Only the very wealthy and self-insured will be able to drive cars without GPS logging and remotely storing your position, velocity, and the time. Rates will be adjusted for forays into "unsafe" neighborhoods, parking outside of bars, etc.

    --

    CEE5210S The signal SIGHUP was received.

  10. Re:This is here to stay -- and that's a good thing by abbamouse · · Score: 2, Insightful

    Bah. Collusion only works where there are a small number of players and barriers to entry are high. Compared to say, airlines, rental car companies have an easy time accomodating an influx of customers -- they can simply buy more cars whereas airlines have to find more gates (and you don't just walk down the street to Joe's Auto Dealership for a 747).

    Moreover, there are dozens of smaller players in the rental car market, even though a few companies control a large percentage of the market. This makes it likely that collusion at the top will create incentives for smaller players to expand. Example: Enterprise expanded from a small company, in part by allowing young people to rent cars when the major players raised the minimum age for renting to 25.

    Thus, collusion exists and may in fact occur in the rental car market, but is unlikely to have enough staying power in the face of competition from small firms to alter prices for very long.

    --
    Make cheese not war 8:)
  11. Comment removed by account_deleted · · Score: 5, Insightful

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  12. Re:Panic over nothing by treat · · Score: 5, Insightful

    I also find it odd that people think that they are allow privacy in a rented vehicle.

    Do I have no right to complain if I have sex with my girlfriend in a rented car, and the rental company sells the hidden camera footage to porn sites? What about my rented apartment?

  13. Lets be practical by Anonymous Coward · · Score: 2, Insightful

    You fly 8 hours, get to your destination at 11 PM and you get to the budget counter.

    They push the paperwork across the counter... you've been renting for 20 years, and its 2 full pages of legalese, so you (very reasonably) assume there's nothing new.

    Nope.

    In there, they say they're going to track you and charge you every time you drive outside of a defined zone.

    Now the rep doesn't explain any of this...after all, their job is to sell you non-insurance (CDW). So you sign it and drive over the state line. What the hell do you know about the rule not to cross the state line? After all, the rep is too busy selling you CDW to tell you about that part.

    So you sign. You come back later, and there's a $7500 surcharge.

    And asswipes like you say "well, you should have read the fine print".

    Son, why do I need to have a lawyer tagging along with me to rent a car? It isn't REASONABLE, and you're essentially forced to sign at that point.

    Or you could pass up the car, but all the other cars companies are closed or sold out.

    "BUt you should have asked before hand" you bleat like a corporate sheep.

    How the fuck can you get through life if every transaction requires a lawyer. Going to go into Wal-Mart to get some mouthwash? Uh-uh. You don't know what "rights" you're giving up.

    If the capitalistic life is supposed to work that way, then I'm voting socialist. Every corporate entity should have their hands up my ass looking for a few bucks. If I rent a car, and they have special rules, then they should put up a sign that says "Hey, we're tracking you, and we're going to charge your sorry ass if you go one foot outside the state".

    But no, corporations typically don't work that way.

    The intent of this rule *ISN'T* to protect property, its to start dinging people a grand here and there because they know the legal system is stacked in their favor.

    And we've got corporate assholes like you defending it like it came from jesus lips that customers have to bend over and take it to support some weird economic notion you have.

    You and Marie Antoinette have a lot in common.

  14. Lemme get this straight... by Guspaz · · Score: 2, Insightful

    Lemme get this straight... You BREAK YOUR CONTRACT, and then are SURPRISED and PISSED OFF when they CATCH YOU DOING IT?

    Gimme a break. You broke the contract by exiting the area you agreed to stay in. If they catch you doing it, tough luck. You shouldn't have violated your contract.

    Privacy my ass, you people just don't want to get caught breaking the rules.

    Regards, Guspaz

  15. Re:Oh, what terrible people they are... by suwain_2 · · Score: 3, Insightful
    To some extend, I do agree with you. However, I want to chip one thing in.

    The speed limit on the highway where I live is 55 MPH. The average speed is about 70 MPH; you can do 80 MPH and be keeping up with the majority of the people at times. The police rarely do much, because someone going 55 while everyone else does 80 isn't a "good citizen" -- they're a hazard. Yes, 80 MPH may be dangerous, but someone going 55 in such circumstances is equally as dangerous.

    What I'm saying can be summarized as such - without them knowing the prevailing circumstances and conditions, I really don't think they have any right to issue me a fine for speeding. (Note that I'm not debating the legality of this - it's in a contract, and you signed it. I'm merely discussing why no one should ever agree to a contract like this.)

    --
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    suwain_2 :: quality slashdot p
  16. Comment removed by account_deleted · · Score: 3, Insightful

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  17. Do any of you Libertarians know what a contract is by gelfling · · Score: 3, Insightful

    All you pooh poohers flaming anyone critical of this policy clearly don't understand that contracts are not supposed to be exploitive or hidden or one sided or vague or invasive.

    You do understand that don't you?

    What if the 'contract' stated you couldn't but gas except at the rental agency for 3x the retail price but the terms were so vague you didn't read or understand them and they assessed you a $20,000 fine. Still feel good? What if your 'contract' said they could bill your credit card ANY AMOUNT without your knowledge or permission? Still get your Libertarian juices flowing?

    Is your cable bill a contract? By your reasoning it is. What if your cable 'contract' stated which pay per view events you were allowed to purchase and that there was penalty if you 'broke' the terms? Still boxing for Adam Smith and John Locke?

    You people wave the word contract around like you know what you're talking about. You do know that some contracts are illegal right?

  18. Re:this is unfortunate by mesocyclone · · Score: 3, Insightful

    If you had to contact your lawyer every time you entered a commercial transaction, you would experience a lot of what economists call friction. If everyone did this, it would significantly dampen the economy. If this became a common thing, you can be sure that the political process would force disclosure. It already does in many areas, exactly because of these kinds of abuse of trust.

    The problem with complex corporate contracts is that few people can afford the time to read them unless they are for something really expensive. One expects certain norms in those contracts, and this is why slipping in a nasty term in the middle of a big contract for a routine purchase is considered a bad thing!

    Why are people outraged by this? Because it is unusual. It is sneaky, in that unless properly disclosed it is an unexpected and normally unseen part of the agreement, inconsistent with normal practice. This is what is meant by "fine print" - stuff most people don't have the time to read in their normal life.

    --

    The only good weather is bad weather.

  19. Track 'em All... by Anonymous Coward · · Score: 1, Insightful

    I personally believe that once you step foot into a car, you have taken the reigns of the most dangerous instrument regularly used in public places. Thus, everyone should be tracked for speed. 100% enforcement of speed limits (finally, they can boost them up to where they should be and at the same time we don't have to worry about careless psychos who drive 30 or 40 over with their eyes watching the radar detector rather than the road.