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Friday, February 22, 2008

Credit reporting firm sues LifeLock over fraud alerts in consumer history files

Experian's lawsuit claims that identify theft protection service is itself engaging in fraud

February 21, 2008 (Computerworld) LifeLock Inc., which touts itself as one of the largest providers of identity theft protection services in the U.S., is being sued by Experian Inc. for allegedly placing false fraud alerts on consumer credit-history files maintained by Experian as part of its credit reporting business.

Experian filed its lawsuit in the U.S. District Court for the Central District of California, which has its main office in Los Angeles. In the suit, the Costa Mesa, Calif.-based company claimed that LifeLock is itself engaging in deceptive and fraudulent behavior. Lifelock's business model is built around false and misleading advertising and fraudulent practices that are causing millions of dollars in monetary damages to Experian and that eventually could reduce the effectiveness of fraud alerts, according to the suit.

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