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A Day In Court For Data Breach Plaintiffs: Preserving Standing Based On Increased Risk Of Identity Theft After Clapper V. Amnesty International Usa, Thomas Martecchini Jun 2016

A Day In Court For Data Breach Plaintiffs: Preserving Standing Based On Increased Risk Of Identity Theft After Clapper V. Amnesty International Usa, Thomas Martecchini

Michigan Law Review

Following a data breach, consumers suffer an increased risk of identity theft because of the exposure of their personal information. Limited protection by data-breach statutes has made it difficult for consumers to seek compensation for these injuries and penalize the companies that fail to protect their information, leading consumers to bring common law claims in court. Yet courts have disagreed about whether an increased risk of identity theft qualifies as an injury-in-fact under Article III standing principles: the Seventh and Ninth Circuits have approved of increased risk standing, while the Third Circuit has rejected it. The Supreme Court has further …


Data Breaches, Identity Theft And Article Iii Standing: Will The Supreme Court Resolve The Split In The Circuits, Bradford Mank Jan 2016

Data Breaches, Identity Theft And Article Iii Standing: Will The Supreme Court Resolve The Split In The Circuits, Bradford Mank

Faculty Articles and Other Publications

In data breach cases, the lower federal courts have split on the question of whether the plaintiffs meet Article III standing requirements for injury and causation. In its 2013 decision Clapper v. Amnesty International USA, the Supreme Court, in a case involving alleged electronic surveillance by the U.S. government’s National Security Agency, declared that a plaintiff alleging that it will suffer future injuries from a defendant’s allegedly improper conduct must show that such injuries are “certainly impending.” Since the Clapper decision, a majority of the lower federal courts addressing “lost data” or potential identity theft cases in which there is …