Texas sues GM, saying it tricked customers into sharing driving data sold to insurers

Texas sues GM, saying it tricked customers into sharing driving data sold to insurers

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Texas filed a lawsuit Tuesday against GM over years of alleged abuse of customers’ data and trust. New car owners were presented with a “confusing and highly misleading” process that was implied to be for their safety, but “was no more than a deceptively designed sales flow” that surrendered their data for GM to sell. The suit contends that at no point was selling driving data ever even suggested as a possibility, putting GM in violation of the state’s consumer protection laws.

Texas Attorney General Ken Paxton is seeking a jury trial and at least $10,000 per offense (every GM car sold in the state since 2015) and a hefty add-on of $250,000 in cases where the victim was over 65.

Texas seems to be flying high after a recent $1.4 billion settlement from Meta over other privacy concerns. This may well be a way to solve any pending budgetary issues in the Lone Star State.

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