Privacy Risk Report

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cyber

Court Rejects Insured’s Attempt at “Selectively Reading” Property Policy to Cover Data Breach

In Camp’s Grocery, Inc. v. State Farm Fire & Cas. Co., 4:16-cv-00204 (October 25, 2016), the U.S. District Court for the Northern District of Alabama granted summary judgment to defendant State Farm and denied plaintiff Camp’s Grocery (Camp’s) cross-motion to… Continue Reading →

Casino’s Lawsuit Shows High Stakes for Breach Response

In January 2016, Affinity Gaming (Affinity), the owner of several casinos, filed a complaint in the District Court of Nevada against Trustwave Holdings, Inc. (Trustwave), a data security investigator, for Trustwave’s work in securing data after Affinity suffered a data breach…. Continue Reading →

Proposed Legislation Provides Tax Cuts for Cyber Insurance and Preparation

A few years ago many people questioned the need for cyber insurance. In fact, the argument was made that although there were a substantial amount of resources dedicated to Y2K preparation, Y2K never became a problem. However, these days it… Continue Reading →

Understanding Issues Related to “Standing” in Data Breach Litigation Provides Insight to Insurers

Whether a litigant has “standing” to bring a lawsuit has been a threshold question in data breach cases for a number of years. The basic criteria addressing this is found in Article III of the Constitution which limits the jurisdiction of… Continue Reading →

Step By Step Analysis of a Response to Recent Ransomware Attack

Ransomware attacks are on the rise and appear to be a long-term problem. For example, last February in California, the Orange County Transportation Authority (OCTA) suffered a ransomware attack that shut down a number of its computers, causing more than… Continue Reading →

Walk the Plank: Court Finds Pirated Cable Programming Not “Data” in Multimedia Liability Policy

In Ellicott City Cable LLC v. AXIS Ins. Co., the U.S. District Court for the District of Maryland held the term “data” did not include cable television programming that was accessed without DirecTV’s authorization. The definition of “data” became the… Continue Reading →

Nothing to See Here: Underreporting Cyber Security Incidents Impacts Cyber Insurance

Data indicates that large-scale data breaches in 2015 alone resulted in the exposure of approximately 429 million personal records. However, these estimates are too low because many data breaches are not reported. In fact, the “real number” of exposed personal… Continue Reading →

The Future Is Now: Court Finds No Coverage Under Cyber Policy for P.F. Chang’s Data Breach

In 2014, P.F. Chang’s experienced a credit card breach involving a number of its restaurants that culminated in numerous lawsuits nationwide. The ensuing litigation related to this data breach provided significant insight into what would become the important issues in data… Continue Reading →

Spokeo Decision Already Having “Concrete” Impact on Data Breach Class Action Litigation

On May 16, 2016, the U.S. Supreme Court issued its opinion in Spokeo v. Robins, a highly-contested circuit court split over the question of how to establish standing in federal courts under Article III. In ruling for the data-gathering company,… Continue Reading →

Something Old, Something New: Well-Established First-Party Property Concepts Used in Computer Hacking Coverage Case

On May 20, 2016, the U.S. Court of Appeals for the 8th Circuit affirmed a District Court decision finding coverage for a loss under a financial institution bond issued by BancInsure, Inc. (BancInsure) to the State Bank of Bellingham (Bellingham)…. Continue Reading →

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