According to techcruch, Blockbuster just got sued for privacy violations related to its Beacon ads through Facebook.
This particular lawsuit is due to a potential violation of the video tape privacy act, which prohibits sharing of customer information, but could be emblematic of future problems where regulatory legislation from off-line business begins to restrict online activities. I could see similar problems with information related to financial or health activities.
This type of lawsuits may also spook brand advertisers who work in highly regulated industries or industries where privacy is of concern to consumers.
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