BI’s Article search uses Boolean search capabilities. If you are not familiar with these principles, here are some quick tips.

To search specifically for more than one word, put the search term in quotation marks. For example, “workers compensation”. This will limit your search to that combination of words.

To search for a combination of terms, use quotations and the & symbol. For example, “hurricane” & “loss”.

Login Register Subscribe

Fewer retail sector data breaches means less business for law firms

Fewer retail sector data breaches means less business for law firms

An apparent decline in the number of reported breaches affecting the retail industry has led to a decrease in data breach litigation filed in federal courts, says a law firm report.

There were 83 cases filed during the 15-month period from Oct. 1, 2014, through Dec. 31, 2015, according to a report issued Thursday by St. Louis-based law firm Bryan Cave L.L.P., “2016 Data Breach Litigation Report: A Comprehensive Analysis of Class Action Data Security Breaches Filed in United States District Courts.”

This was a nearly 25% decline from the total reported in the law firm's 2015 report.

Among other report findings:

• When multiple filings against single defendants are removed there were only 21 unique defendants during the period. The report says this indicates a continuation of the “lightning rod” effect, where plaintiff attorneys file multiple cases against companies connected to the largest and most publicized breaches.

• About 5% of publicly-reported data breaches led to class action litigation, which is a conversion rate consistent with prior years.

• Choice of forum continues to be primarily motivated by the states where the company and victims of the data breaches are based.

• There was a 76% decline in the percentage of class actions involving credit card breaches compared to the 2015 report, which most likely reflects a reduction in the quantity of high-profile credit breaches.

• Nearly 75% of cases included a negligence count, compared with 67% in the 2015 report.

• Plaintiff attorneys overwhelmingly focused on breaches involving data traditionally considered sensitive, such as social security numbers, as opposed to their previous focus on factors such as credit card numbers.

Read Next