Borders Bust Means B&N May Get Your Shopping History

coondoggie writes "To perhaps no one's surprise, Borders bookstore collected a ton of consumer information — such as personal data, including records of particular book and video sales — during its normal course of business. Such personal information Borders promised never to share without consumer consent. But now that the company is being sold off as part of its bankruptcy filing, all privacy promises are off. Reuters wrote this week that Barnes & Noble, which paid almost $14 million for Borders' intellectual assets (including customer information) at auction last week, said it should not have to comply with certain customer-privacy standards recommended by a third-party ombudsman."

Comments

bankruptcy creditors

[Skapare]

This kind of decision would turn every (former) Border's customer into a potential creditor in the bankruptcy proceeding, since it becomes a cost and damage to that customer if the privacy terms already agreed to are changed. Imagine if even 1 person of Border's (former) customer were to file a petition with the bankruptcy court to enter as a creditor.

what this really could mean.

[Nadaka]

If the company buying the data at auction is not held to the same privacy standards as the original, this means that shell companies can be formed to gather information under strict nondisclosure, then intentionally fold and provide the information without restriction and in violation of the original disclosure agreement.

Re:how is this legal?

[sabt-pestnu]

I wonder if you could use the theory that the information isn't Borders', it's yours - and by breaking the contract under which it was provided, Borders no longer has a right to it.