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How Last Minute Changes to AlphaRacks Privacy Policy Screwed Customers

Posted in: Matthew's Tech Posting

The ultra-budget web host AlphaRacks recently announced their closure after around one month of downtime, which led to a bunch of people receiving emails from a PSK Hosting even though they are not clients of PSK Hosting.

Unknowingly to almost all AlphaRacks customers the company would make last minute changes to its’ privacy policy in order to try to give itself legal cover in order to be able to transfer customer information to another company.

A screenshot of the alpharacks privacy policy, showing the changes they made less than one month before closing to justify the selling of customer data.

18th May 2019 13th June 2019

This addition to the privacy policy was made less than one month before AlphaRacks closed down, with the company taking advantage of the fact the privacy policy also allows them to update that policy at any time.

The problem for AlphaRacks is that the same privacy policy also requires them to update the “Last Updated” part of the policy which they have failed to do, making it far harder for customers to know if the terms they agreed to had been updated.

Why would AlphaRacks update its’ privacy policy and not tell its customers?

Very little is known about what went on behind the scenes at AlphaRacks with many people passing around rumours of the involvement of the company operators with former QuadraNet employees and something about some lawsuits. This may go some way to explaining why the AlphaRacks servers were taken offline by QuadraNet.

It is very likely that AlphaRacks knew that they were not going to be able to get their servers back online, so they either sold the client database to PSK Hosting or as some people are suspecting there is a chance that PSK Hosting being run by the same people as AlphaRacks.

Published: 16th of June 2019

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