It’s hard to imagine the scale of the damage that can come from this data breach, considering the number of people whose personal information was stolen. The release of such data can pose all sorts of problems for innocent consumers as the information gets traded and sold on the dark web. To give you an idea of why these incidents are so harmful, take a look at some of damaging consequences of a database hacking attempt:
Considering the harm that can come from a database hack, it’s essential to have an understanding of the legal actions that are available to you.
Theoretically, Caesar’s Entertainment should take ownership of the breach in their IT systems and offer solutions to help the affected consumers. This should include compensation in the event victims end up with monetary losses, but we know from experience that companies will go to great lengths to avoid any admission of guilt. That, after all, would leave them open to countless lawsuits for many years down the road, which will come at a considerable loss to the company’s fortune. It’s also worth noting that negligence by the company can be quite challenging to prove, as it’s common practice to hire an outside company to manage IT-related issues.
You will also need to prove that you suffered direct monetary losses due to the company’s negligence, which would give you the right to sue the company on your own or with others that were part of the data breach. Suing as a group is very common in these situations, as there are so many people that are part of the same database. This is known as a class action lawsuit, and it’s an option we would be happy to explore with you during a free consultation.
In terms of negligence, this is generally done through omission (failure to take reasonable care) or through a deliberate act with the intent to cause harm to others. Most of these lawsuits are based on omission by the company (breach of duty), meaning that the company is not directly responsible for stealing the consumer’s data. However, they are still responsible for the security of any data that was in their possession, which means they are legally liable when there is a data breach of personal information.
Is There a Class Action Lawsuit on this Case?
The announcement of the data breach was made just days before the writing of this article. Thus, a class action lawsuit has not been established on behalf of the victims just yet. But this is usually what follows such a massive data hack, as there are so many people who have suffered in the same way due to another party’s negligence.
However, we want you to be sure that joining a class action is in your best interest. That’s why we encourage you to contact us and learn about the process for one of these lawsuits, along with other legal remedies that may be appropriate for your situation. To determine the right course of action as a victim of a data breach, contact our law firm to schedule a free case evaluation.
Notable Examples of Data Breach Settlements
Caesar’s Entertainment is not the only company that’s been the target of a social networking attack. There are many such incidents within recent years, and some of these hacks have resulted in massive fines and payments to consumers whose information has been permanently compromised. Here are some examples of the biggest cyberattacks on consumer data:
- Equifax’s failure to fix critical issues in their database led to the release of financial information for 150 million consumers. Furthermore, the company failed to disclose the data breach to their consumers for several weeks, which put them at even greater risk of identity theft and other cybercrimes. These decisions were called out by the Federal Trade Commission, which accused Equifax of “failure to take reasonable steps to secure its network.” In a settlement, it was agreed that the company would pay $575 million dollars to compensate those who were impacted by the data leak.
- T-Mobile agreed to pay a settlement of $350 million to consumers whose information was stolen during a data breach. The settlement followed a class action lawsuit on behalf of consumers whose data was sold on the dark web after hackers gained “unauthorized access” into their IT systems.
- Meta Platforms (formerly known as Facebook) was hit with a fine of $277 million by the Data Protection Commission of Ireland. According to the commission, Facebook’s failure to comply with certain guidelines compromised sensitive information for approximately 500 million users.
- DIY giant Home Depot experienced a POS system hack in 2014, which resulted in the theft of 50 million credit card numbers and 53 million customer email addresses. Hackers entered the company’s network using stolen credentials and succeeded in committing one of the biggest POS system data leaks in history. What’s truly astounding is that the information was stolen over a period of 5 months, which is an indicator of serious failures with the company’s cybersecurity systems.
- Though Amazon is appealing the decision, the online retailer was hit with a fine of $877 million by Luxembourg officials in 2021. The fine was issued based on a data breach that’s believed to be caused by the company’s consent to cookies. In a statement, Amazon insists that “There has been no data breach, and no customer data has been exposed to any third party.”