Richard Sheinis on the Rise of Data Breach Class Actions

Class Action Data Breaches

In an article published on June 21, 2023, in the New York Law Journal, Richard Sheinis, partner at Hall Booth Smith, and Lisa Jaffe, AVP of Cyber/Technology/Media Claims at Hiscox Insurance, discuss the significant increase in class action lawsuits involving data breaches and how defendants can use legal defenses to stop the class action, such as Article III standing or causation.

“In most cases, especially since the plaintiffs rush to the courthouse as quickly as possible after notification of a data breach, there is not an allegation of actual misuse of personal information,” said Rich and Lisa. “The plaintiffs, therefore, make claims that harm was suffered by the mere accessing (not theft) of personal information by a bad actor, that the defendant’s failure to secure the personal information was a breach of contract, or that the accessing of personal information was somehow an intentional disclosure by the defendant, constituting an invasion of privacy.”

Subscribers to the New York Law Journal can read the full article on the site.

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