A data breach lawsuit may arise when hackers or negligent companies expose sensitive information such as Social Security numbers, bank details, or medical records. Data breaches are becoming increasingly common as AI-driven data scraping and sophisticated attacks target consumers. If your personal data has been exposed in a breach, you may have legal options—whether or not you’ve experienced direct financial harm. An experienced attorney can help assess your situation and advise you on whether you may be eligible to pursue compensation.
In the sections below, we will define what constitutes a data breach and outline the legal avenues available for seeking damages.
What Constitutes a Data Breach?
When courts analyze a data breach lawsuit, they look at how sensitive and confidential information was compromised. A data breach occurs when sensitive and confidential information such as health records, Social Security numbers, bank account numbers, or credit card numbers, is compromised due to negligent or malicious circumstances. Despite the attempts by major companies to keep your data safe, unauthorized releases of private consumer information can occur in several different ways, including:
- Hacking by a person or group
- Ransomware or malware is released into software programs
- Weak or nonsecure network or payment systems
- Improper security measures
- Employee negligence or carelessness
- Nonsecure data disposal practices
These failures are often the basis of a privacy breach lawsuit when companies neglect to safeguard personal information.
Past data breaches of major companies, some which led to a data breach lawsuit, have included those in the health care industry, banks and other financial organizations, government agencies, retailers, and educational institutions. Cyberattacks should be taken seriously, and due to the frequency with which they happen, the legal system continues to evolve to address the risks of data exposure and to provide affected individuals with meaningful legal remedies.
Damages Available in a Data Breach Lawsuit
Plaintiffs in such cybersecurity lawsuits may recover damages such as emotional distress, financial losses, and the time and money spent on mitigation. Courts and lawmakers have continued to refine how damages are awarded in data breach cases, given the complexity of proving harm. Defendants in such cases often argue that even if a breach occurred, there is insufficient evidence showing the plaintiff was significantly harmed to justify compensation. To address this, California enacted the California Consumer Privacy Act (CCPA) in 2018, which provides protections for consumers affected by data breaches involving commercial businesses.
Types of recoverable damages in a data breach case can include:
- Emotional and mental distress due to constant worry and trauma
- Risk of future harm, even when there is no immediate evidence of misuse
- Loss of value of personal information
- Expectation damages that are meant to put the plaintiff in the position they were in before the breach
- Mitigation and consequential damages to compensate for the time and money spent remedying the effects of the breach
- Actual misuse such as stolen money, tax fraud, or loss of property
Working with an experienced firm like CaseyGerry can help you navigate the complexities of data privacy litigation and pursue appropriate legal remedies.
Reach Out to a Law Firm Who Knows About Cyberattack Damage Recovery
Experiencing a data breach that exposes your sensitive personal information can be overwhelming and affect many aspects of your life. Cybersecurity law is constantly evolving, and having CaseyGerry’s experienced attorneys on your side can make the process more manageable. Our team brings the same determination and compassion to every data breach claim, ensuring affected individuals understand their rights. Casey Gerry has been a leader in data breach lawsuits, often among the first firms to file claims on behalf of affected consumers nationwide. Our attorneys continue to monitor major incidents, such as the Farmers Insurance Data Breach, to stay on top of developments that may impact consumers. Contact us today to schedule a consultation and learn more about your legal options.