Tag Archives: identity theft

ILN Today Post

Risk of future identity theft may be sufficient to confer standing in data breach litigation

Over the last decade, something of a circuit split has developed among courts addressing data breach litigation. Until recently, most courts held that a plaintiff who only alleged that his or her information had been accessed by a hacker, but could not allege a concrete injury – such as identity theft – lacked standing to sue for the data breach. These courts tended to view potential damages from the mere disclosure of personal information as speculative and conjectural in that they would flow, if at all, from an injury that had yet to occur. However, in 2017, data breach plaintiffs had more success in persuading federal courts that even in the absence of actual identity theft, they had pled a constitutional injury sufficient to confer Article III standing. These cases may indicate an easing of the burden for plaintiffs to withstand motions to dismiss where personal information is accessed by a hacker, but not yet used.

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Data Privacy and Cybersecurity Alert: Tax season is also identity theft season

April is a critical time of year for businesses and individuals to assess their vulnerabilities to the onslaught of identity theft. Tax season finds the IRS inundated with filings and requests for tax refunds throughout the country. The government, unfortunately, lacks the manpower to ensure all of these filings are legitimate. Identity thieves, who now include sophisticated organized criminal groups among their ranks, are filing fraudulent tax returns by the thousands using stolen social security numbers acquired throughout the year. As a result, if you choose to file an extension on your return, you could be giving thieves the time they need to file your return first!

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