Early this month I discussed recent developments in data breach litigation at a webinar hosted by Debix.
breach
Iowa Enacts 43rd State Breach Notification Law
On May 9, 2008, Iowa Governor Chester Culver signed legislation (SF 2308) requiring any person who owns or licenses computerized data that includes a consumer’s personal information to give notice of a breach of security. The law does not require notification if, after an appropriate investigation or after consultation with the relevant federal, state, or local agencies responsible for law enforcement, the person determined that no reasonable likelihood of financial harm to the consumers whose personal information has been acquired has resulted or will result from the breach. Following is an updated list of the 43 state security breach notification laws (plus District of Columbia and Puerto Rico).
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More Breach Notification Laws — 42 States and Counting
Virginia, West Virginia, and South Carolina are the latest states to pass data breach notification laws, bringing to 42 the total number of states with such laws on the books (including the one state with a law that applies only to public entities, Oklahoma). Listed below are the 41 states with laws that apply to private entities (plus the District of Columbia and Puerto Rico).
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No Harm, No Lawsuit: Seventh Circuit Refuses Data Breach Lawsuit Where Credit Monitoring Costs Are the Only “Damages” Sought
Where the only “damages” alleged following a data security breach are the costs of credit monitoring, a plaintiff has no case, so ruled the Seventh Circuit on August 23, 2007. The decision dealt another blow to so-called “identity exposure” plaintiffs seeking to recover damages stemming from the unauthorized disclosure of their personal information, as the Seventh Circuit’s ruling joined the unanimous line of lower court decisions denying recovery in the absence of actual, present harm.
In Pisciotta v. Old National Bancorp, — F.3d –, 2007 WL 2389770 (7th Cir. Aug. 23, 2007), the court ruled that “Indiana law would not recognize the costs of credit monitoring that the plaintiffs seek to recover in this case as compensable damages.” Id. at *6. In doing so, the Seventh Circuit joins a chorus of federal district courts that uniformly reject such costs as a form of cognizable injury sufficient to support legal claims for damages.
Massachusetts Is 39th State to Mandate Breach Notification
Massachusetts is now the 39th state to enact a personal data breach notification law. On August 2, Governor Deval Patrick signed the law, requiring that businesses and government agencies notify residents of data breaches in certain situations.
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Breach Law Data
We thought it might be helpful to provide citations to the 37 state (plus D.C. and Puerto Rico) breach notification laws that cover private entities (Oklahoma’s law, that only addresses state agencies, is not included). We also provide links, or uploaded copies, where available.
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