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Adult Friend Finder's acquisition by Penthouse was the subject of a 2007 lawsuit by Broadstream Capital Partners, a merchant bank that assists with mergers, alleging Penthouse breached a 2006 contract by purchasing the company without obtaining Broadstream's consent, a claim Penthouse denies.
On November 13, 2016, it was reported that a database of usernames, e-mails, and passwords had been breached and leaked from Adult Friend Finder and other Friend Finder Networks websites.
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These employees have stated that the majority of customers do not notice the charges for many months.