The Seventh Circuit Court of Appeals affirmed a decision that an Illinois-based infotech firm is owed the duty of defense for underlying suits based on alleged BIPA violations. The case is Citizens Ins. Co. of Am. v. Wynndalco Enters., LLC, 70 F.4th 987 (7th Cir. 2023).
Clearview AI converted data from more than 3 billion photos of individuals from a variety of online sources into biometric facial recognition identifiers, paired them with information about where the photos were taken, and created a database of the photos that included identifying information. The Chicago Police Department (CPD) gained access to this database through a two-year contract with its purchasing agent and Wynndalco Enterprises, an infotech services and consulting firm.
Wynndalco was sued in two separate class actions for its part in the transaction. The suits, though they differed on the exact nature of Wynndalco's role, accused Wynndalco of intentional or reckless violations of BIPA, unjust enrichment, and invasion of privacy.
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