B&N Objects To Privacy Standards For $14M Borders IP

Law360, New York (September 21, 2011, 9:42 PM EDT) -- Barnes & Noble Inc. told a New York bankruptcy court Wednesday that a third-party ombudsman's recommended privacy standards regarding bankrupt bookseller Borders Inc.'s customer information — which Barnes & Noble won for $13.9 million at auction last week — were too restrictive.

Barnes & Noble said the recommendations issued Wednesday by consumer privacy ombudsman Michael St. Patrick Baxter amounted to a "Hobson's choice" that could jeopardize the sale, which still must be approved by a bankruptcy judge. Barnes & Noble acquired several of Borders' intellectual property assets, which contained customer information, at a Sept. 15 auction.

"While Barnes & Noble —...

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