Recent Trends in Data Breach Litigation: What Victims Should Expect

If you have suffered harm because your important personal data has been compromised, you may be entitled to financial compensation. The experienced data breach attorneys at Federman & Sherwood can help you.

Consumers are increasingly turning to the legal process to be paid for the damages associated with a data breach. They are using more legal theories to satisfy the requirement that they have standing to file their lawsuit. Further, plaintiffs are filing their cases under state common law theories, in addition to federal legal grounds for their cases.

Schedule a free initial consultation with the data breach lawyer at Federman & Sherwood to learn whether you can file an individual or class action lawsuit. We have a track record of getting results for our clients, and we can fight for you.

The Number of Class Action Data Breach Lawsuits Is Skyrocketing

From 2022 to 2024, the number of class action lawsuits filed by plaintiffs has more than doubled. Data breach victims are increasingly learning that not only do they have legal remedies for the harm that they have suffered, but they can also band together to have a more effective chance of winning their case. Plaintiffs still need to meet requirements to have a class certified by the court. If a large group of plaintiffs has suffered substantially similar harm, they may be able to have the class certified and file a more effective claim than if they had to proceed individually.

Courts Are Allowing Plaintiffs to Have Standing Under More Theories

Courts have been figuratively opening their doors to a broader range of plaintiffs who have been victimized by data breaches in recent years. Under federal law, you must show that you have suffered actual or imminent harm to have the standing to file a lawsuit. When it comes to data breach cases, courts no longer require plaintiffs to have suffered actual Financial losses. Instead, courts have recently been allowing litigants to meet standing requirements by showing the following:

  • Future risk of harm, even if you have not yet suffered actual financial losses (however, you must allege concrete future harm as opposed to a more general allegation in the wake of the Supreme Court’s decision in TransUnion LLC v. Ramirez
  • The loss in value of your sensitive information
  • Not getting what they paid for from a business that failed to protect their sensitive data
  • Invasion of privacy by having your most sensitive data publicly exposed
  • Emotional distress from the data breach (when it is paired with an argument of future harm

Although it is not guaranteed that you would have the standing to sue, nor are there any assurances that a court would certify a class action lawsuit, judges are increasingly more sympathetic to arguments that plaintiffs’ lawyers are making to get the cases into court. However, courts have recently been struggling to apply the guidance that the Supreme Court gave in Transunion, and there have been some uneven results regarding standing in recent class action cases.

Plaintiffs Are Increasingly Using Common Law Claims to File Lawsuits

Although plaintiffs may rely on specific federal and state data breach laws that allow for a private right of action, they are also increasingly turning to common law grounds under state law to file claims. Data breach lawsuits may be filed on a number of state law grounds, including the following:

  • Breach of contract: There may have been some type of agreement between you and the party tasked with protecting your data that was breached.
  • Negligence: The defendant may have owed you a duty of care since they possessed your data, and they failed to uphold it.
  • Invasion of privacy: Having your personal data exposed can be considered a breach of your privacy
  • Unjust enrichment: The defendants may have received financial gains from your relationship that they did not deserve because they did not protect your data

The increasing acceptance of the use of common law grounds for data breach lawsuits may help your lawyer determine where and how your case is to be filed. It is still possible to file cases in federal court that rely on state common law claims if the jurisdictional requirements are met.

Contact a National Data Breach Law Firm Today

If your data has been compromised because someone else failed to protect it, reach out to Federman & Sherwood to explore your legal options. We have offices in Texas and Oklahoma. And we serve clients nationally. You can schedule a free initial consultation with a data breach lawyer by messaging us online or by calling us today at 405-235-1560. You pay nothing unless you win your case.

About Federman & Sherwood

With offices in Oklahoma and Texas, Federman & Sherwood is a nationally recognized law firm known for its deep experience in handling complex litigation for individuals, consumers, shareholders, and businesses. The firm has earned a strong reputation for its leadership in data privacy, securities, shareholder derivative litigation, and consumer class actions. Whether representing a small business in a contract dispute or an individual impacted by a data breach, Federman & Sherwood offers strategic, results-driven advocacy tailored to each client’s needs. The firm litigates in both state and federal courts and represents clients in mediation and arbitrations across the country.

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