US Supreme Court Wades into Data Breach Lawsuits

The US Supreme COurt has accepted a case to determine standing in data breach cases. We all know data breach law suits flow freely after a data breach. The question among courts has been is the injury to the person suing- that the information is out in the black market for information or does some economic damage have to occur before the individual can seek a court remedy.

The case that will shed light on data breach standing is Spokeo, Inc. v. Robins.

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Lege Trend: Marketing Information is Protected Personal Information

Illinois Legislature is moving a data security bill that adds marketing information to protected information. Which means, if marketing information about a consumer is breached, notice will be required to the consumer.

Illinois Bill, SB1833,  was drafted by the Illinois Attorney General and “will require notification in the event of a breach of “information related to a consumer’s online browsing history, online search history, or purchasing history.”” 

Advertisers and Mark…

2 States First to Update Data Security Laws for 2015

Montana and Wyoming, wrangling western individualism, passed new data breach notification laws. Here’s what they did:

Wyoming expanded what information triggers a data breach notification to include:

  • Username or email address with password or security question and answer
  • Birth or marriage certificate
  • Medical, biometric or health insurance information
  • Individual taxpayer identification number.

Wyoming also expanded what should …

Legal Trend: Small Banks Want to Block Target Settlement with MasterCard

Small banks and credit unions have filed suit to enjoin the nearly $20 million settlement between Target and Mastercard related to the 2013. 

Small banks and credit unions allege:

  • the agreement between Target and Mastercard was surreptitious
  • “This sweetheart deal for Target was negotiated without involvement of the court or the legal representatives o…

New SEC Rules on Cyber and Data Security Forthcoming

The SEC is mulling over requiring disclosures by publicly traded companies concerning data security and data breaches. 

This should come at no suprise as in 2011, the Corporate Fiannce Division issued guidance on disclosing data security and data breaches in CF Disclosure Guidance: Topic No. 2, Cybersecurity, Oct. 13, 2011.

What’s the SEC considering risk factors that need to be disclosed?

  •  if the risk of data breaches would make an investment in the business r…

States Lose (Again) with Federal Data Breach Law

The federal data breach bill moving through Congress will preempt all state laws. Most states have stronger data breach laws than the federal bill.

Some say the federal bill is being pushed by the business lobby. It makes sense. Businesses are being sued after data breaches and it is costing millions and millions. Hundreds of millions. 

California, has stronger data security statutes and the California Consumer Federation says the federal bill will:

•Eliminate notif…

GAO: IRS Needs Better Data Security

The GAO found 69 data weaknesses at the IRS, which caught the attention of Sen. Grassley and the Treasury inspector general for tax administration.

The Treasury’s inspector general for tax administration ranks data security as the IRS’s top management problem for 2015. In response, the IRS claims that budget cuts have impacted its abaility to find security weaknesses.

The Hill<...

Top Concern for Credit Unions Rhymes with Lata Becurity

Data Security is the number one concern for credit unions according to the National Association of Federal Credit Unions. 

Their concern is founded in fact. In 2014, 317 million new pieces of malware were created according to Symantec’s 2015 Internet Security Threat Report. Data breaches have been increasing by 20% per year. 

This group supports legislation that includes:

  • Payment of Breach Costs by Breached Entities
  • National Standards for Saf…