Index Exchange Must Face Wiretap Claim Over China Data Transfer

June 17, 2026, 2:30 PM UTC

Online ad seller Index Exchange Inc. failed to convince a federal court to dismiss a proposed wiretapping class suit filed over its alleged violation of federal restrictions on transferring large amounts of personal data to China.

Plaintiff John Baker sufficiently alleged that Index Exchange’s transmission of data regarding his use of an online Bible site to Chinese e-commerce platform Temu violated the Department of Justice’s Bulk Sensitive Data Rule, creating possible liability under the Electronic Communications Privacy Act, Judge Matthew F. Kennelly said Tuesday for the US District Court for the Northern District of Illinois.

The BSDR, animated by concerns ...

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