New York appeals court rules against Facebook in search-warrant case

|About: Facebook (FB)|By:, SA News Editor

Facebook (NASDAQ:FB) today took a loss in New York's highest court -- but in a manner that suggests the underlying question in the case has yet to be decided.

The company challenged search warrants that, as part of a Social Security fraud investigation, demanded information about hundreds of its customers (including those who filed for federal disability but were seen on Facebook looking healthy).

Facebook complied but challenged the warrants. New York's State Court of Appeals ruled against the company, saying that it lacked the right to appeal, but leaving unanswered whether the warrants were properly authorized under the 1986 Stored Communications Act.

"We’re disappointed by the court’s ruling, but we are encouraged to see the thorough dissent that supports Facebook’s position arguing for people’s online privacy," the company said in a statement, adding that it was evaluating options.