Monday 11 March 2013

LinkedIn Security Breach Lawsuit Dismissed

Northern California U.S. District Judge Edward Davila has dismissed a class action lawsuit that was filed against LinkedIn in response to last June's security breach.

"Davila ruled that two premium-account holders had been unable to demonstrate they suffered any actual harm as a result of the 2012 hack, which resulted in the online exposure of 6.5 million password hashes. ... Katie Szpyrka of Illinois and Khalilah Wright of Virginia sued within days of the breach becoming public knowledge in June 2012, alleging that LinkedIn failed to stick by a promise on security outlined in its privacy policy," writes The Register's John Leyden.

"In oral arguments, the plaintiffs' counsel asserted that the lawsuit is primarily based on an alleged breach of contract, but for such a claim to stand, the defendants needed to specify damages resulting from this alleged breach of contract,'" writes Computerworld's Lucian Constantin. "The injury claimed by the plaintiffs occurred before the alleged breach of contract, at the time when the parties first entered into the contract, the judge said. Therefore the economic loss they claim cannot be the 'resulting damages' from an alleged breach of contract, he said."

"The judge also noted that the two plaintiffs admitted they never read the privacy policy to know whether or not the company had misrepresented its security offering," writes Threatpost's Anne Saita.

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