Taking Steps to Prevent a Data Breach Is Essential to the Success of Your Company
TechLawLogy™: eDiscovery and Privacy Blog
Data breaches can have a devastating impact on those that are affected. Nowhere, perhaps, has this been more evident than with the 2015 data breach of AshleyMadison.com, a website designed to connect individuals who are looking to cheat on their spouse or significant other. That particular data breach resulted in the leak of the personal information of AshleyMadison.com’s 37 million users. Much of this information was subsequently posted on the internet, leading to turmoil in the lives of those affected and for AshleyMadison.com itself.
A data breach can have huge financial and reputation costs for your company.
Since the breach, AshleyMadison.com has faced an ongoing class action lawsuit that is nearing the finish line. In July, U.S. District Judge John A. Ross issued a preliminary approval of an $11.2 million settlement to end the litigation. Class members who submit a timely claim will be eligible to receive up to $3,500. While the plaintiffs have pushed for final approval of the deal, a single member of the class has recently objected to the settlement, arguing that the company should be shut down for good. The case will go to final hearing on November 20th, and, despite the single objection, will most likely be approved.
- Take Steps to Mitigate the Damage. If you believe that your company has experienced a data breach, immediately take whatever measures are necessary to stop any further information from leaking.
- Seek Legal Advice. A lawyer who is trained in privacy and data security laws can help navigate a company through the resulting turmoil of a data breach or provide counsel on ways to prevent one from ever occurring.