Supreme Court Weighs Video Privacy Act in Paramount Case

The Supreme Court of the United States heard arguments Wednesday in Salazar v. Paramount Global to determine if the Video Privacy Protection Act (VPPA) of 1988 applies to the sharing of digital viewing habits from free subscriptions. The case centers on Michael Salazar, who alleges Paramount Global violated the law by disclosing his video-watching history from 247Sports.com to Facebook without consent to facilitate targeted advertising.

Paramount Global argues that the VPPA is a Blockbuster-era statute designed for video rental stores and does not apply to free sports news websites. The company contends that Salazar does not meet the legal definition of a consumer because he signed up for a free email newsletter rather than renting or purchasing audiovisual materials. Paramount's legal team characterized the lawsuit as an attempt to turn the statute into a prohibition against internet targeted advertising.

During the proceedings, Justice Elena Kagan suggested that companies facing such privacy concerns have two simple solutions: obtain consent or stop selling private information. The court is seeking to resolve a split among lower appeals courts regarding whether the law protects any subscriber of a service provider or only those using services specifically for audiovisual content. A ruling for Salazar could disrupt revenue streams for media companies relying on tailored marketing, while a ruling for Paramount would maintain a narrower interpretation of the law in the digital age.