"LegalZoom presents a high-risk privacy profile (68/100) comparable to Google/Microsoft due to extensive collection of sensitive data including biometric identifiers, financial information, and health data, combined with broad sharing practices including automatic data transfer to third parties and data sales in business transfers. The policy permits indefinite retention, vague legal bases for processing, and unilateral policy changes without mandatory notification, while deletion rights are easily denied if the company claims legal retention requirements."
legalzoom Privacy Concerns & Scorecard
LegalZoom collects extensive sensitive data including biometric data (facial recognition), government identification numbers (SSN, driver's license, passport), financial data (bank account and credit card numbers), health/medical information, and audio/video recordings.
Automatic data transfer to third parties (1-800Accountant) for business formation customers without explicit opt-in, effective December 15, 2024.
Policy subject to unilateral changes with no mandatory notification requirement; users only encouraged to periodically review.
Data retention period is indefinite and vaguely defined as 'as long as necessary' with automatic retention if company deems legal requirements exist.
Cross-contextual behavioral advertising and targeted advertising practices using tracking technologies without clearly delineated opt-out for all behavioral tracking.
No recommended actions at this time.
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Data Collection & Tracking
Personal Information Collected
Account creation, service provision, legal document preparation, compliance
Identity verification, document preparation, legal filing requirements
Identity verification
Payment processing, tax preparation, financial services
Legal services preparation, compliance
Document preparation, business formation services, tax services
Marketing and advertising, service improvement, behavioral analysis
Service delivery, security, marketing analytics
Service provision, legal document preparation, customer service
Service delivery, verification, potentially customer service
Service delivery, document delivery, notifications
Cross-Platform Tracking
LegalZoom uses cookies and tracking technologies to collect browsing history, search history, and interaction with advertisements across the internet. This behavioral data is used for targeted advertising and cross-contextual advertising to better reach current and prospective customers, though the policy does not explicitly detail the scope of cross-site tracking.
Tracking Methods:
Cookies
First-party and third-party cookies used to track browsing behavior, search history, and interactions with advertisements across websites
Tracking Pixels
Tracking technologies collect indirect information about user activity and internet behavior for behavioral advertising
Device Fingerprinting
Device information collected and used to identify and track users across sessions
AI & Data Training
legalzoom does not train AI on your content
Based on their public policy, your content is not used to train AI models.
How to Object
No opt-out available
This service does not currently provide a public way to opt out of AI training.
Why We Analyzed legalzoom
TrueTerms automatically audits privacy policies and data practices using advanced machine learning to keep you informed and protected. This scorecard is based on the latest available public terms of service and privacy policies as of 2026.