Arizona Attorney General Sues Chinese E-Commerce Retailer Temu Over Data Theft Claims

Arizona Attorney General Kris Mayes announced on Tuesday that the state has filed a lawsuit against Temu and its parent company PDD Holdings Inc.

The lawsuit claims the popular discount shopping app is stealing customers’ personal data on a massive scale.

Allegations Against Temu

According to Mayes, Temu deceives customers about the quality of its cheap products. More seriously, she said the app collects a “shocking amount” of sensitive data without users’ permission. This includes GPS location tracking and information about other apps installed on users’ phones.

“It can detect everywhere you go, to a doctor’s office, to a public library, to a political event, to your friends’ houses,” Mayes said at a news conference. “The scope of this invasion of privacy is enormous.”

The lawsuit also raises concerns about Chinese laws that require companies to share data with the government when requested. Prosecutors say Temu’s code is designed to avoid security reviews.

Arizona investigators conducted a forensic review of the Temu app. They found portions of the app’s code that experts identified as malware or spyware.

The review revealed the app can secretly collect and send out data from users’ phones without their knowledge. Investigators also discovered “large swaths” of previously banned code from an earlier version of the platform.

Mayes also accused Temu of stealing intellectual property from American businesses. She specifically mentioned the Arizona Cardinals football team and Arizona State University as victims of this alleged copying.

In response, Temu denied all allegations. The company said it helps “consumers and families access quality products at affordable prices” while working to “keep costs down and maintain reliable supply.”

Growing Legal Pressure

Arizona joins other states taking action against Temu. Kentucky, Nebraska, and Arkansas have filed similar lawsuits in recent years. Mayes called the allegations against Temu even more serious than those made against TikTok.

Attorney General Mayes urged Arizona residents to delete their Temu accounts immediately. She also recommended uninstalling the app and scanning devices for malware.

Mayes called for greater federal government action to protect American consumers from such threats. She described the case as “possibly the gravest violation of the Arizona Consumer Fraud Act” the state has ever seen.

Find this Story Interesting! Follow us on Google News, LinkedIn and X to Get More Instant Updates