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By “Any Manner” Of Means: Securing Cyber-Crime Coverage After Zurich v. Sony

Much has been written about the New York Supreme Court’s landmark ruling in Zurich American Insurance Co. v. Sony Corp., Index. No. 651982/2011 (N.Y. Supr. Ct. Feb. 21, 2014), in which a New York trial court denied coverage...more

FCC Announces Record $7.4 Million Settlement for Failure to Provide CPNI “Opt-Out” Notices to Customers

On Tuesday, September 3, the FCC’s Enforcement Bureau announced that it had entered into a consent decree with Verizon, under which Verizon will pay $7.4 million to the U.S. Treasury for violating the FCC’s “Customer...more

Nebraska Federal Court Refuses To Dismiss Suit Claiming Breach Of Contract, Violation of State Law for Unauthorized Credit Card...

On August 20, the U.S. District Court for the District of Nebraska denied motions to dismiss filed by a Nebraska bank and two credit card processing companies in response to a purported class action filed by a merchant...more

Out of the Box: Legal guidance for the consumer product + retail industry - Volume 2, Issue 2, Summer 2014

In This Issue: - Are Offers Of Free Credit Monitoring About To Become Mandatory In Data Breach Incidents? - Mandatory “Made-In” Labeling in the EU - A New Dawn for California Class Actions - Recent...more

California Federal Court Dismisses User Information Claims Against Digital Wallet Company

On August 12, the U.S. District Court for the Northern District of California dismissed for failure to state a claim a putative class action alleging that a digital wallet provider made unauthorized disclosures of user...more

Policyholder Takes the Insurer’s Bait and Loses Coverage

In an interesting Order coming from the United States District Court in Western District of Washington, case no C13-1014 (National Union et al v. Coinstar), National Union skillfully avoided a bad faith claim by timely...more

The GPMemorandum, Issue 182

In This Issue: - Supreme Court Holds Company Can Sue Competitor For Unfair Competition Even If It Complies With FDA Labeling Regulations: In an 8-0 decision announced on June 12, 2014, the Supreme Court held...more

An Emboldened FTC: What Does It Mean for a Company’s Cybersecurity Team?

In April, Edith Ramirez, Chairwoman of the FTC, and Julie Brill, FTC Commissioner, tweeted: “Pleased the court recognized @FTC’s authority to hold biz accountable for safeguarding consumer data & look forward to trying this...more

Delaware Adopts Law Requiring the Destruction of Consumers’ Personally Identifiable Information

On July 1, 2014, Delaware Governor Jack Markell signed into law Delaware House Bill 295, which amends Section 6 of the Delaware Code relating to trade and commerce. The new law, 6 Delaware Code §§50C-101 thru 50C-401, places...more

Redbox Collection of ZIP Codes Does Not Violate Song-Beverly Privacy Rights

Redbox Automated Retail, LLC (“Redbox”), provider of the popular self-service kiosks that rent movies and video games in airports and other locations, received confirmation last month from the Ninth Circuit Court of Appeals...more

Bank Customer – Not the Bank – Liable for Fraudulent Wire Transfer

Recent security breaches have focused attention on the allocation of risk associated with fraudulent payments. The recent U.S. 8th Circuit Court of Appeals decision in Choice Escrow & Land Title, LLC v. BancorpSouth Bank...more

Ninth Circuit Rules That Redbox's Collection of Customer ZIP Codes Falls Under "Deposit" Exception to California's Song-Beverly...

In a 2-1 decision, a Ninth Circuit panel has affirmed a district court's dismissal of a putative class action against Redbox - the company with the bright red DVD-rental kiosks - alleging violations of California's...more

Court Orders Google to Remove Site from Worldwide Search Results

In a recent decision by the British Columbia courts (Equustek Solutions Inc. v Jack , 2014 BCSC 1063), Google has been ordered to de-index a website selling goods that were the subject of intellectual property (IP)...more

To keep data safe, law firms must embrace a culture of security

As the White House report on big data indicates, an enormous amount of information is collected, stored, analyzed and relayed in digitized form over the Internet and, increasingly, using mobile technology. Headlines...more

U.S. Steps Up Efforts to Make “Safe Harbor Safe Again” – FTC, Justice Department Work to Keep EU Happy and Avoid Pull Back from...

Within the span of two days, both the Federal Trade Commission (FTC) and the U.S. Department of Justice announced initiatives meant to assuage the European Union’s concerns over trans-Atlantic data flows and to secure...more

Corporate and Financial Weekly Digest - Volume IX, Issue 26

In this issue: - Delaware Fee-Shifting Legislation Delayed - SEC Orders Securities Exchanges and FINRA to Develop Tick Size Pilot Plan - CFTC Extends Relief to FCMs from Certain Commingling...more

Florida Federal Judge Approves Settlement Agreement Providing Payments to All Victims of Data Breach, Even Those Who Suffered No...

On February 28, 2014, in Resnick et al. v. AvMed Inc., a Florida federal judge gave final approval to a groundbreaking settlement agreement in a data breach class action lawsuit. The settlement for the first time provides...more

Cybersecurity Securities Class Actions are Coming: Predictions, Analysis, and Practical Guidance

Last fall, I wrote about board oversight of cybersecurity and derivative litigation in the wake of cybersecurity breaches. I plan to update my thoughts later this year, after we see developments in the recently filed Target...more

New York Supreme Court Finds that GL Insurers Have No Duty to Defend Sony for Class Actions Arising out of PlayStation Data Breach

In February of this year, in the matter of Zurich American Ins. Co. v. Sony Corp. of America, et al., case number 651982/2011, the New York Supreme Court ruled in favor of Zurich American Insurance Co. and Mitsui Sumitomo...more

More Permissive Standard For Standing In Plaintiffs' Data Breach Suits: Federal Judge Endorses Novel Pleading Strategy And Denies...

On March 28, the California federal judge presiding over the suit against LinkedIn Corp. (LinkedIn) — which stems from a data breach from 2012 — denied LinkedIn’s motion to dismiss, and permitted the suit to proceed based on...more

Part III: Has Congress Spoken and Does It Really Matter? The Wyndham Worldwide Case and the Expanding Power of the FTC to Police...

In the first and second parts of this series, we provided a summary of the District Court of New Jersey’s recent decision in FTC v. Wyndham Worldwide Corp. and then focused on whether the FTC has given “fair notice” to...more

How Significant is the Wyndham Case to the US Cybersecurity Legal Landscape?

The security community has been abuzz this week with the US. District Court of New Jersey's April 7 ruling in Federal Trade Commission v. Wyndham Worldwide Corporation, et al. Wyndham had asserted in a motion to dismiss that...more

Redbox Covers the Nation with Red Box DVD Rental Units, But its CGL Policy Doesn’t Cover Redbox

Companies facing liability for possible violations of privacy protection statutes are continuing to look to their traditional commercial general liability policies (“CGL”) for coverage. But, as Redbox recently discovered,...more

Banks Withdraw Lawsuits Against Target and Trustwave

UPDATE to our story yesterday: In what apparently is a big “oops,” two banks that took legal action against Target over its recent data breach have withdrawn their claims. The suits were withdrawn due to an erroneous...more

Settlement on the Horizon in Massachusetts ZIP Code Litigation

A recent proposed settlement in Massachusetts may signal readiness on the part of retailers to end so-called “ZIP code” litigation. In 2011, customers of the arts and crafts retailer Michaels Stores Inc. filed a proposed...more

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