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Texas sues General Motors for allegedly selling drivers' data

The state of Texas filed a lawsuit against General Motors on Tuesday, alleging that the company illegally collected and sold driver data.

Announced by Texas Attorney General Ken Paxton (R) Legal action Next Tuesday investigation Restrictions were imposed on several automakers in June after allegations emerged that they had been collecting driver data. Paxton said the investigation found that General Motors “engaged in egregious business practices that violated the privacy of Texans and violated the law.”

“We will hold them accountable,” Paxton said. It said in a statement“Companies are using invasive technology to violate people’s rights in unthinkable ways. Millions of American drivers want to buy a car, not a comprehensive surveillance system that illegally records every time they drive and sells the data to companies that pay them.”

In a press release, Paxton’s office said General Motors “used technology installed in most GM vehicles since model year 2015 to collect, record, analyze and transmit highly detailed driving data every time a driver uses their vehicle.”

The bureau said General Motors sold the data to “multiple” companies. The complaint said General Motors told the companies that bought the data that their customers “consented to the collection, use and sale of their driving data.”

The bureau said automakers “misled many customers” when they asked them to sign up for their products, including OnStar Smart Driver. The bureau alleged that customers were told that safety features in their vehicles would be disabled if they didn’t sign up for certain products.

“But unwittingly, by signing up for GM products, customers ‘consented’ to General Motors’ collection and sale of their data. Despite lengthy and complicated disclosures, General Motors failed to inform customers about its actual practices of systematically collecting and selling highly detailed driving data about them,” Paxton’s office said.

The Hill has reached out to General Motors for comment.

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