PayPal can fine you $2500 if you suffer (or is likely to suffer) a data breach
Yes, read their legalese fine print
Do you know that PayPal can fine you at least $2,500 if your business suffer (or may suffer) a data breach?
Let’s take a look at their user agreement under “Restricted Activities",
In connection with your use of our websites, your PayPal account, the PayPal services, or in the course of your interactions with PayPal, other PayPal customers, or third parties, you must not:
…
Suffer (or cause us to determine that there is a reasonable likelihood of) a security breach of your website or systems that could result in the unauthorized disclosure of customer information.
Then under “Actions We May Take if You Engage in Any Restricted Activities”, it says that
If we believe that you’ve engaged in any of these activities, we may take a number of actions to protect PayPal, its customers and others at any time in our sole discretion. The actions we may take include, but are not limited to, the following:
blah blah blah
blah blah blah
If you use your PayPal account primarily for the purposes of your trade, business, craft or profession and you violate the Acceptable Use Policy, then:
in addition to being subject to the above actions you will be liable to PayPal for the amount of PayPal's damages caused by your violation of the Acceptable Use Policy;
you acknowledge and agree that USD 2,500.00 (or the prevailing equivalent in the currency of the country in which you reside) per violation of the Acceptable Use Policy is:
a reasonable minimum estimate of PayPal's actual damages including but not limited to, internal administrative costs incurred by PayPal to monitor and track violations, damage to PayPal’s brand and reputation, and penalties imposed upon PayPal by its business partners resulting from a user’s violation considering all currently existing circumstances, including the relationship of the sum to the range of harm to PayPal that reasonably could be anticipated;
reasonable and proportionate in its application to the provision of the Services to you; and
necessary, but no more than sufficient, to protect PayPal’s legitimate interest in your compliance with the Acceptable Use Policy; and
PayPal may deduct such damages directly from any existing balance in any PayPal account you control.
So, here it is. If you get hacked, PayPal can fine you.
Eye Opening!!
How incredibly valuable this book has been! I have learnt so much about how little I actually know of the digital world and its securities. I always thought I was very careful but turns out you can never be too careful. It has taught me a lot about safeguarding myself and my family from the dangers that lurk in the digital world. Especially with young children, I have always worried about the ever growing use of technologies in their schools and then wanting to use them at home. This book gives you the guidance to ensure you are doing everything you can to protect yourself and your family’s privacy. I will definitely be reviewing and implementing a lot of these strategies. What a great place to start than this book. Easy to read and understand. Very thorough and worthwhile for the novice in the digital world. Look forward to reading more from this author.
Natalie Lee (onApple Books review)