Comcast Enters Into $33 Mln Settlement With California Over Privacy Violations

(RTTNews) - Attorney General of the State of California Kamala Harris announced Thursday that the California Department of Justice, along with the California Public Utilities Commission, has reached a $33 million settlement with Comcast Corp. (CMCSA, CMCSK) over allegations that the company posted online the names, phone numbers and addresses of tens of thousands of customers who had paid for unlisted voice over internet protocol or "VOIP" phone service.

As part of the settlement, Comcast must pay $25 million in penalties and investigative costs to the California Department of Justice and the California Public Utilities Commission. Comcast will also pay approximately $8 million in additional restitution to customers whose numbers were improperly disclosed.

As part of the stipulated judgment filed today in Alameda Superior Court, Comcast has agreed to a permanent injunction that requires the company to improve how it handles customer complaints and to strengthen the restrictions it places on its vendors' use of personal information about customers. The injunction will require Comcast to provide a simple and easy-to-read disclosure form to all customers that explains the ways in which it uses unlisted phone numbers and other personal information.

Kamala said that Comcast is in the process of refunding all fees paid for unlisted service by the roughly 75,000 customers whose information was improperly disclosed over a two-year period, which total over $2 million.

Under the settlement, Comcast will pay each of these customers $100 on top of the refund, totaling an additional $7.5 million. The settlement also provides for further monetary relief to individuals who have identified personal safety concerns related to the disclosure of their personal information, such as law enforcement personnel and victims of domestic violence.