On Wednesday, May 20 Attorney General Ken Paxton announced a settlement regarding RadioShack’s proposed sale of its customers’ personally identifiable information in connection with the sale of RadioShack’s trademark and intellectual property.
According to a press release, a coalition of 38 states, led by Texas, joined together to oppose the sale of consumer data. Under the terms of the settlement agreement, the overwhelming bulk of RadioShack’s consumer data will be destroyed, and no credit or debit card account numbers, social security numbers, dates of birth or even phone numbers will be transferred.
The press release states that General Wireless obtained bankruptcy court approval to purchase RadioShack's entire e-commerce business, intellectual property and remaining assets, including certain customer data.
The iconic electronic retailer will continue to employ approximately 10,000 former RadioShack employees including 1,500 in Texas. In March, General Wireless, a subsidiary of RadioShack’s largest shareholder, purchased 1,750 RadioShack stores out of the bankruptcy.
Out of the 8.5 million customer email addresses in RadioShack’s files, the new owner will be allowed to retain only the email addresses of those who specifically requested product information in the last two years.
General Wireless further agreed it will not sell or share any of this customer information in the future with any other entity, including its new co-branded business partner Sprint Communications.