[weeblewobble]

I think a rough analogy would be:

You’re a startup who keeps a payroll spreadsheet in Google Sheets and the Google recruiting team accesses that data to recruit your employees and decide how much to offer them.

There’s nothing wrong with Google trying to hire your employees, but it’s wrong for them to use your confidential data from another business unit to do so.

[cco]

I must be still confused. The startup employee knows what their strike price was and here Carta was offering to hook them up with a buyer for those shares at price $X (which I presume is/was different than the strike price of the employee).

Maybe I'm misunderstanding? But that doesn't seem like they're sharing cap table data with anyone. They've found a buyer for the employee's shares at some price. Is it implied that they shared the cap table info with that buyer (i.e. the third party investor)?

[weeblewobble]

The information that person X owns Y shares is private cap table info. Carta breached that privacy by using it for lead generation

[siegel]

I think "privacy" here is the wrong word. Carta owes some obligations to companies that sign up or their services (though they are vague and ambiguous).

But I hope people wake up to what they are agreeing to when they sign up as a user for Carta. Carta makes you agree that they owe you NO duty of confidentiality with respect to any information you submit into the service.