Ransomware Reality Check: Why Not Every Data Breach Creates Standing
At MVA, we often help clients who are victims of cyber incidents where threat actors take data and threaten to release it unless they are paid. With ransomware attacks and data exfiltration common, companies face mounting pressure to assess litigation risk after a breach, and understanding the legal landscape is critical. Recent rulings from both federal and state courts underscore a key point: not every breach translates into standing for every affected individual. In our 2017 DataPoints piece on Beck v. McDonald , we explored how the Fourth Circuit set a reasonable bar for standing in data breach cases. That precedent continues to shape outcomes today, including a recent decision from the Fourth Circuit and a November 18 th decision from a state court of appeals reinforcing the principle that speculative harm is not enough for standing. The Fourth Circuit in Holmes v. Elephant Insurance Co. and the Wisconsin Court of Appeals in Bauer v. Fincan...