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How Can Businesses Ensure Their Social Media Contacts Are Secure?

The Internet has significantly changed the way in which companies market their goods and services. Instead of placing an advertisement in the newspaper or the telephone book, businesses have shifted their focus to increasing their online presence. These days, when consumers are looking for a product or service, they conduct an online search, in many cases just for the words associated with what they’re looking for, such as “accident attorney” Placing high on a list of search results increases a company’s chances of connecting with that consumer. Another way to reach consumers is through social networking. Given recent events in California and elsewhere, however, employers should personally take protective measures to prevent the theft of their contacts and the injurious consequences such an event could carry.

Recent court rulings concerning protections and ownership of social media contacts indicate the importance of employers taking measures to ensure the security of their social networks. In November of 2011, an article in Forbes magazine summarized some of the current legal positions different courts had taken on the issue of the ownership of social media contacts and information. According to the Forbes article, for example, a British court had ruled in a LinkedIn case, Hays Specialist Recruitment (Holdings) Ltd v Ions, that a former employee must turn over all LinkedIn information to his previous employer. Ions, a consultant working for Hays recruitment firm, allegedly used the LinkedIn network he developed while working for Hays to approach clients and solicit business for a rival company he started before leaving his employment. Ions argued that the contacts who had joined his LinkedIn network were no longer confidential since anyone in his network could contact them, while Hays' position was that Ions' use of the contacts constituted information theft.

Forbes indicated that the British case was the first of its kind and that the decision suggests courts in Britain are likely to view LinkedIn contacts as property of an employer if the contacts were customers, vendors, or others whom the account-holder become acquainted with while engaging in work-related activities.

In California, a case is currently underway in which an employee who Tweeted for his company took the account with him when he left and continued to personally network with followers, explains an attorney. In response, the company is suing the employee and seeking damages for what it claims are the injurious consequences of losing its Twitter following, specifically, potential business. Some indicators do suggest that the courts are likely to protect the Twitter list. For example, in ruling on the defendant's motion to dismiss the case, the court held that the company had adequately alleged that it owned its Twitter account and had rights to it. This doesn't mean that the company has conclusively proven this; simply that their proof is adequate during the pre-trial stage and that the case can go to trial where further information will need to be presented to determine who opened the account. The court also reasoned that if the account in fact belonged to the employer, it should have been returned to the employer at the end of the business relationship, so this lawsuit could be resolved in favor of the company.

Protecting Intellectual Property

As the law remains unsettled in this area, the best thing a company can do is to ensure that they have a clear social media policy in place. If a company is hiring an employee to build up social media contacts and create social media relationships, the account should be in the employer's name and the employee should agree in a written contract that any contacts made and relationships formed belong to the employer and are part of the employer's intellectual property.

Only by taking this step can an employer insure that his or her investment in social media relationships is protected at this point in time. However, when the California court rules, its determination may change the rules and establish a clearer standard for who owns the social media relationships that have become so important to today's businesses.

By: Larry Drexel

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Larry Drexel is a Public Relations manager. To obtain free, informative books or articles he suggests visiting California personal injury attorney.

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