Texas AG Ken Paxton sues General Motors for collecting, selling driver data

Texas Attorney General Ken Paxton is suing General Motors because he says the automaker has been illegally collecting and selling drivers’ data. Paxton announced the action on Tuesday after receiving the results from an investigation into the alleged practice, according to a statement he released.

He said that investigation showed how General Motors “engaged in egregious business practices that violated Texans’ privacy and broke the law.”

“We will hold them accountable,” Paxton said in a statement. “Companies are using invasive technology to violate the rights of our citizens in unthinkable ways. Millions of American drivers wanted to buy a car, not a comprehensive surveillance system that unlawfully records information about every drive they take and sells their data to any company willing to pay for it.”

General Motors used technology installed in most 2015 model year or newer GM vehicles to collect, record, analyze, and transmit highly detailed driving data about each time a driver used their vehicle,” the statement continued.

“General Motors sold this information to several other companies, including to at least two companies for the purpose of generating ‘Driving Scores’ about GM’s customers and selling these scores to insurance companies.”

Paxton alleges that General Motors sold the data to “several” companies but only after GM had told the businesses that the drivers “had consented to the collection, use, and sale of their Driving Data.”

With data privacy law lacking at the federal level, many states are taking the initiative to protect privacy rights to protect consumers in the ever-growing data brokerage market, CNN reported.

The AG’s office said GM has also r “deceived many of its customers” when it falsely told drivers their vehicle’s safety features would not work if they did not enroll in specific GM programs like the OnStar Smart Driver.

“Unbeknownst to customers, however, by enrolling in GM’s products, they were ‘agreeing’ to General Motors’ collection and sale of their data. Despite lengthy and convoluted disclosures, General Motors never informed its customers of its actual conduct — the systematic collection and sale of their highly detailed driving data,” Paxton’s office said.

A General Motors spokesperson said in a statement to The Hill that they are in contact with Paxton’s office.

“We’ve been in discussions with the Attorney General’s office and are reviewing the complaint. We share the desire to protect consumers’ privacy,” a General Motors spokesperson said in a statement.

Paxton successfully beat an impeachment brought by what the attorney general describes as the “Republican establishment” working with Biden administration lawyers. He says he expects to be impeached again.

Ford Motors is seek a patent for a device that really invades privacy by detecting whether other cars on the road are exceeding the speed limit and then transmitting this data to local police