Experian Files Suit Against LifeLock, Inc.

Complaint alleges deceptive and misleading business practices

Feb 21, 2008, 00:00 ET from Experian

    COSTA MESA, Calif., Feb. 21 /PRNewswire/ -- Experian(R), a global
 information services company, has filed suit against LifeLock, Inc. for
 allegedly placing fraud alerts illegally on credit files maintained by
 Experian. The suit also alleges that LifeLock's activities constitute false
 and misleading advertising and fraud which have caused damage to both
 Experian and consumers and threaten to degrade the effectiveness of fraud
 alerts over time.
     Experian's complaint alleges that LifeLock is engaging in deceptive and
 fraudulent behavior by adding hundreds of thousands of fraud alerts every
 90 days to Experian's consumer credit database in a manner that was not
 intended by Congress when it implemented the federal Fair Credit Reporting
 Act (FCRA). The complaint alleges that corporations are specifically
 prohibited from adding fraud alerts to consumer credit files and that
 LifeLock's service uses consumers' free yearly allocation of credit reports
 without adequate disclosure.
     By law, initial fraud alerts are available for free to consumers who
 believe that fraud has occurred or is imminent and are temporary in nature
 expiring at the end of 90 days. Fraud alerts are visible to all credit
 grantors who access consumer files for the purpose of granting credit and
 require creditors to confirm the identity of the person making a request
 for credit.
     Experian's complaint alleges that the long-term effects of LifeLock
 adding four alerts per year for its 600,000 members to Experian's database
 will degrade the effectiveness of legitimate fraud alerts over time. Credit
 grantors will lose the ability to distinguish between fraud alerts added by
 consumers who legitimately believe that identity theft is imminent and
 those added by LifeLock. Experian's complaint alleges that credit grantors
 will have reason to doubt the credibility of all fraud alerts and their
 effectiveness for consumers legitimately impacted by fraud and identity
 theft will be severely compromised.
     The complaint against LifeLock was filed by Experian in the U.S.
 District Court for the Central District of California.
     About Experian
     Experian(R) is a global leader in providing information, analytical and
 marketing services to organizations and consumers to help manage the risk
 and reward of commercial and financial decisions. Combining its unique
 information tools and deep understanding of individuals, markets and
 economies, Experian partners with organizations around the world to
 establish and strengthen customer relationships and provide their
 businesses with competitive advantage. For consumers, Experian delivers
 critical information that enables them to make financial and purchasing
 decisions with greater control and confidence. Clients include
 organizations from financial services, retail and catalog,
 telecommunications, utilities, media, insurance, automotive, leisure,
 e-commerce, manufacturing, property and government sectors.
     Experian Group Limited is listed on the London Stock Exchange (EXPN)
 and is a constituent of the FTSE 100 index. It has corporate headquarters
 in Dublin, Ireland, and operational headquarters in Costa Mesa, Calif., and
 Nottingham, UK. Experian employs approximately 15,500 people in 36
 countries worldwide, supporting clients in more than 65 countries. Annual
 sales are in excess of $3.8 billion.
     For more information, visit the Group's Web site on
     (C) 2008 Experian Information Solutions, Inc. All rights reserved.
 Experian and the marks used herein are service marks or registered
 trademarks of Experian Information Solutions, Inc. Other product and
 company names mentioned herein may be the trademarks of their respective
Contact: Donald Girard Experian Public Relations 1 714 830 5647 Donald.girard@experian.com

SOURCE Experian