Interactive Counsel

Arent Fox's interactive media law blog - latest news and trends in advertising, data security & privacy, and IP.

Interactive Counsel

Blog Posts by Janice Goh

Privacy & Security
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What’s the Big Deal with Big Data? New FTC Report Released

What’s the News?

The Federal and Trade Commission recently released a report outlining the benefits and risks involved in using big data. The report, Big Data: A Tool for Inclusion or Exclusion? Understanding the Issues cautions companies against the use of big data in a way that could lead to discrimination, and explains how companies should analyze and use big data in compliance with various consumer protection laws. In particular, FTC Chairwoman Edith Ramirez expressed concerns related to the use of big data in connection with “harmful exclusion or discrimination.” To that end, the FTC Report provides some guidance on how companies can use big data to benefit themselves and society, while minimizing legal and ethical risks.

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Payment Processing, Electronic Fund Transfers & Mobile Payments, Prepaid & Stored Value Cards, Privacy & Security
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Federal Judge Approves Target’s $10 Million Settlement for Consumer Class Action Lawsuit over 2013 Data Breach

On March 19, 2015, a Minnesota federal judge granted preliminary approval of Target Corporation’s (Target) proposed $10 million settlement of a class action lawsuit, which arose out of a 2013 data breach that compromised personal information of roughly 110 million of Target’s customers. The proposed settlement would pay out $10 million to the plaintiffs and up to $6.75 million in attorney fees. Consumers affected by the breach could be awarded up to $10,000 in damages each if they can prove damages.

This case is significant for two main reasons. First, the fact that the plaintiffs were able to defeat a motion to dismiss for lack of standing to sue indicates that the bar may be lowering for successfully alleging injury in data breach lawsuits. Second, the Court’s approval of the proposed settlement raises the question of whether the settlement amount will become a benchmark in  future data breach cases.

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