Given the disappearance of Lavabit and Silent Circle, people are looking for alternatives that protect privacy.
Hushmail should not be considered an alternative.
To quote from an article in The Register:
Hushmail has updated its terms of service to clarify that encrypted emails sent through the service can still be turned over to law enforcement officials, providing they obtain a court order in Canada.
September court documents (pdf) from a US federal prosecution of alleged steroid dealers reveals that Hush Communications turned over 12 CDs involving emails on three targeted Hushmail accounts, in compliance of court orders made through the mutual assistance treaty between the US and Canada. Hushmail is widely used by privacy advocates and the security-conscious to send confidential emails.
Hush Communications, the firm behind Hushmail, previously claimed "not even a Hushmail employee with access to our servers can read your encrypted email".
However an updated explanation states that it is obliged to do everything in its power to comply with court orders against specified, targeted accounts. Unlocking targeted accounts involves sending a rogue Java applet to targeted users that captures a user's passphrase and sends it back to Hush Communications. This information, when passed onto law enforcement officials, allows access to stored emails and subsequent correspondence sent through the service.
The possibility that law enforcement officials can tap targeted accounts exists whether or not Hushmail users use the supposedly more secure Java applet option or a simpler web server encryption set-up. The updated terms of service explain:
"Hushmail is a web-based service, the software that performs the encryption either resides on or is delivered by our servers. That means that there is no guarantee that we will not be compelled, under a court order issued by the Supreme Court of British Columbia, Canada, to treat a user named in a court order differently, and compromise that user's privacy."
http://www.schneier.com/blog/archives/2007/11/hushmail_turns.html
http://www.wired.com/threatlevel/2007/11/encrypted-e-mai/
http://www.cybercrimereview.com/2012/11/hushmail-provides-unencrypted-e-mails.html
http://www.theregister.co.uk/2007/11/20/hushmail_update/
(From:
http://www.reddit.com/r/privacy/comments/1k03w4/hushmail_is_not_a_secure_email_provider/ )