Privacy Class Action – Article III Standing – 2013 Outlook

For a number of years, the key issue in data privacy class actions has been whether plaintiffs could allege damages sufficient for standing purposes or to state a claim for relief.  Several key decisions addressed the issue in 2013.  In addition, in 2013, theories of injury and damages revealed themselves to be deciding factors at the class certification stage of litigation.  Finally courts, continued to address new and creative theories of liability arising out of data breaches and claims of invasion of privacy.

Article III Standing

Several key decisions this year highlighted the ongoing challenges privacy class action plaintiffs face in alleging adequate injury for the purposes of both Article III standing and to state a claim for relief.  Because many privacy class action plaintiffs are able only to allege increased risk of future identity theft or another hypothetical harm, as opposed to actual identity theft or a related harm from a breach,  privacy