Data privacy claims on the rise in US

Data privacy actions for inadvertent violations are on the increase in the US, according to the Institute for Legal Reform.

US lawyers face liability increases in areas of data protection and patent claims alexskopje

The Institute has identified data protection, alongside 'patent troll' litigation and claims against brand-name drug manufacturers, as some of the significant areas 'where entrepreneurial plaintiff's lawyers have been prospecting for new liability'. The research is contained in the 'New Lawsuit Ecosystem' report. 

New 'injury' theories

On data privacy, the report says: 'First come the hackers, and then come the class action lawsuits—regularly brought by plaintiffs’ lawyers trolling news reports and public records for any excuse to sue...When a hacker compromises potentially millions of records, …statutory damages can add up quickly, even though no one was actually harmed. Plaintiffs’ lawyers have also developed several new “injury” theories that have gained traction.'

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