American Bar Association Allegedly Responsible for March 2023 Data Breach Affecting 1.4M Members [DISMISSED]
Last Updated on October 1, 2024
Troy v. American Bar Association
Filed: April 21, 2023 ◆§ 1:23-cv-03053
A class action lawsuit claims cost-cutting by the American Bar Association is to blame for a March 2023 data breach that compromised the personal information of up to 1.4 million members.
New York
May 29, 2024 – American Bar Association Data Breach Lawsuit Dismissed
United States District Judge Nicholas G. Garaufis dismissed the proposed class action lawsuit detailed on this page on April 30, 2024.
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In a 16-page order granting the American Bar Association’s (ABA) motion to dismiss the data breach lawsuit, Judge Garaufis found that the plaintiffs failed to specify which industry-standard cybersecurity measures the defendant allegedly neglected to implement.
Judge Garaufis also refuted the plaintiffs’ argument that the ABA violated New York law by failing to immediately notify affected customers of the nature and extent of the breach, given that the defendant never represented to members that it would take such actions.
“Here, ABA's privacy policy only notes that in the event of a breach, ABA will notify its customers either ‘by email, US mail, telephone, or other means as permitted by law,’” the judge wrote. “There is no promise that ABA will notify its customers as soon as the breach occurs, and no reasonable consumer would be misled to think otherwise.”
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A proposed class action lawsuit claims cost-cutting by the American Bar Association (ABA) is to blame for a March 2023 data breach that compromised the personal information of up to 1.4 million members.
Want to stay in the loop on class actions that matter to you? Sign up for ClassAction.org’s free weekly newsletter here.
The 18-page lawsuit alleges that the legal association’s inadequate cybersecurity “allowed widespread and systematic theft” of members’ private data by a hacker who purportedly gained access to the ABA’s network between March 6 and March 17 of this year. The suit says that the compromised data included members’ names, addresses, email addresses and phone numbers.
The organization’s cybersecurity protocols fell far short of the reasonable standard necessary to sufficiently protect members’ personal information, the complaint claims. The filing contends that although the inadequate data security may have provided the defendant with “fleeting benefits in the form of saving on the costs of compliance,” the purported savings were “to the severe detriment of its own customers,” as cybercriminals have apparently “wasted no time in putting [the stolen data] to nefarious use.”
As the case tells it, the ABA “grossly failed to comply with security standards and allowed its customers’ financial information to be compromised, all in an effort to save money by cutting corners on security measures that could have prevented or mitigated the [breach].”
According to the lawsuit, the ABA failed to notify data breach victims in a timely manner and clearly disclose to impacted individuals the nature and full extent of the incident. By failing to do so, the suit argues, the ABA has “prevented [victims] from protecting themselves.”
The plaintiff, a New York resident and registered member since August 2018, received the data breach notice that the ABA emailed to victims, the case says. Like other victims, the woman is now at a much greater risk of financial fraud and identity theft as a result of the ABA’s conduct, the complaint charges.
The lawsuit looks to represent anyone in the United States who registered an account with the American Bar Association.
Are you owed unclaimed settlement money? Check out our class action rebates page full of open class action settlements.
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