If you want to skip the technical details, skip ahead to "Terms of Use and Liability"
Here is the technical stuff: meaSuite stores the passwords to an XML file which by using jQuery meaSuite verifies the username and password. The passwords are hashed *when we get them *and in the XML file. This "hash" is done through SHA1. We do plan on changing the system to use PHP but right now the webserver meaSuite *is built in cannot handle PHP let alone MySQL. We may end up creating a system to avoid the XML and/or the PHP ways of password checking through some trickery within the plugin. Although meaSuite takes all the steps it possibly can at the moment, we do not promise security. Server administrators MUST take *action and defend against password hacking as well as stolen accounts not only on meaSuite but other accounts where meaSuite was used.