Major anime streaming platform Crunchyroll has been hit with a class action lawsuit for alleged violations of the Video Privacy Protection Act (VPPA). Plaintiffs argue that without consumer consent, Crunchyroll knowingly disclosed personally identifiable information to a third party, such as email addresses, device IDs, and anime titles being streamed on the platform. The conduct of Crunchyroll, which has yet to respond to the lawsuit (or a request for comment given advance notice of this article), was described as “particularly egregious,” given that it settled a lawsuit in 2023 over “similar” VPPA violations.
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Specifically, the lawsuit alleges that Crunchyroll violated the VPPA through its app, which embedded a Software Development Kit (SDK) from a marketing company called Braze. Basically, that the Crunchyroll app includes app development tools from Braze (the SDK) that support it for custom operations, such as marketing. Braze enables companies to send notifications, in-app messages, and email campaigns. (Braze) The lawsuit alleges that Crunchyroll has been disclosing information without consent since at least 2022.
The VPPA prohibits “the disclosure of video rental records containing personally identifiable information,” except: “(1) to the consumer; (2) with the written consent of the consumer (3) pursuant to a Federal criminal warrant, an equivalent State warrant, a grand jury subpoena, or a court order under specified guidelines; (4) to any person if such disclosure is solely the names and addresses of consumers and the consumer has had the opportunity to prohibit such disclosure; (5) to any person if such disclosure is incident to the ordinary course of business of the video tape service provider; or (6) pursuant to a civil court order. (Congressional Research Service, Library of Congress)” Some of the plaintiff’s arguments that Crunchyroll did not abide by these exceptions are below.
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The plaintiff’s evidence of Crunchyroll disclosing personally identifiable information is below:
The highlighted parts argue that Crunchyroll sent data to Braze (formerly known as Appboy) that included details like device ID, email, and the name of the anime and episode being watched. The plaintiffs go on to argue that Crunchyroll must have known it was disclosing this information to Braze, as it was using Braze’s services to send targeted notifications and marketing messages based on their specific viewing history.
Plaintiffs continue, “The information transmitted enables Braze (and any of its clients or partners) to identify exactly what video content each specific Crunchyroll subscriber is watching. Over time, through repeated transmissions during multiple viewing sessions, the App [Crunchyroll] facilitates the building of comprehensive profiles of each user’s viewing behaviour.“
The implications of Crunchyroll disclosing viewing habits and personally identifiable information to third parties without consent would clearly be serious. Crunchyroll contains numerous titles featuring gore and sexualized elements that many would rather remain private. We will update this article if Crunchyroll responds to our request for comment. Crunchyroll has over 17 million subscribers, 130 million registered users, with over tens of billions of hours watched yearly.
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Senator Leahy, who introduced the VPPA, said, “[i]n practical terms our right to privacy protects the choice of movies that we watch with our family in our own homes. And it protects the selection of books that we choose to read.” He also said, “These activities are at the core of any definition of personhood. They reveal our likes and dislikes, our interests and our whims. They say a great deal about our dreams and ambitions, our fears and our hopes. They reflect our individuality, and they describe us as people.“
Despite the potentially global ramifications, this lawsuit can only be brought forward for those affected in the U.S. The lawsuit is pursuing certification of the following classes of consumers for this lawsuit against Crunchyroll, including both minors and adults:
- Subclass 1: Minor Subscriber Class:
- All persons in the United States who, within the applicable statute of limitations, were minor children and created accounts on the Crunchyroll App, watched videos through the App, and had their Personal Viewing Information disclosed to Braze by Crunchyroll.
- Subclass 2: Adult Subscriber Class:
- All persons in the United States who created accounts on the Crunchyroll App and watched videos through the App, and had their Personal Viewing Information disclosed to Braze by Crunchyroll within the applicable statute of limitations.
Among many things, the plaintiffs are seeking damages of $2,500 per VPPA violation and “reasonable attorney’s fees, and other litigation costs, injunctive and declaratory relief, and punitive damages in an amount to be determined by a jury, but sufficient to prevent the same or similar conduct by the Defendant in the future.“
While this would run into the billions if Crunchyroll were found guilty, there’s always the chance that the judge would side with the defendant; companies also litigate aggressively, dragging out the process for years. Settlements are often reached for much less, such as when Crunchyroll settled in 2023 for ~$30 per affected member, or $16 million total.
Source: Cabonios v. Crunchyroll, LLC (2:26-cv-02373), District Court, C.D. California
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