As data breaches continue apace, so do enforcement action and litigation. This update describes a recent data breach settlement under the consumer protection statutes of 41 jurisdictions, as well as recent federal and state court judicial opinions addressing liability for data breaches under Maine and District of Columbia law.
In the Hannaford decision discussed later in this update, Judge Hornby succinctly and fairly characterized the growing body of data breach litigation as follows:
“[T]he cases . . . are almost uniform in not allowing recovery where there is only a risk of injury and no actual misuse of the stolen electronic data. * * * [And] are almost unanimous: no mandatory credit monitoring, certainly where there is no demonstrated risk.”