Apple is up against facing a class-action federal lawsuit pitting them against a slew of angry customers, claiming the company is guilty of selling off private information encrypted into their iTunes accounts. Leigh Wheaton, Jill Paul, and Trevor Paul, the plaintiffs in the case, are suing for a reported $5 million, on behalf of the greater public.

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With the help of their legal eagles, the trio drummed up a 51-page pamphlet, submitted under the auspices of intellectual freedom: "None of the information pertaining to the music you purchase on your iPhone stays on your iPhone," the document goes on to state.

"The data Apple discloses includes the full names and home addresses of its customers, together with the genres and, in some cases, the specific titles of digitally-recorded music that its customers have purchased via the iTunes Store and then stored in their devices,” the lawsuit contends.

In layman's terms, the plaintiffs believe that Apple is earning a profit of the reselling, and temporary allocation of our encrypted data. Although it's not entirely clear who the beneficiary of these "third party arrangements" is, at the present time. Apple has so far kept quiet in the immediate aftermath of the lawsuit going public. Keep it locked for more, and please be vigilant with your private information, regardless of Apple's culpability in the matter.

[Via]