Anjali Das (Partner-Chicago, IL) was quoted in ““Cyber Insurers Track Privacy Exposures,” which appeared in the July 12, 2023, posting of Business Insurance. Increased privacy claims surrounding the collection and sharing of data by companies are reverberating through the cyber insurance sector as underwriters and policyholders take steps to stem losses. Anjali noted that in this environment, “Motions to dismiss are not readily granted … courts are allowing cases to move into discovery to learn more about the new wave of claims and suits, some of which are based on arcane language in the Video Privacy Protection Act (VPPA),” a federal statute enacted in 1988. “The recent wave of litigation has courts … wrestling with the role of VPPA in the modern world,” she said. One attraction of the VPPA to plaintiffs is that it provides for statutory damages of up to $2,500 per violation, and a concern for insurers is that cyber insurance often contains provisions for defence costs, and class-action suits can be lengthy, potentially making insurers responsible for what could be substantial defence costs.
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