Yahoo Sued Over Data Breach
Yahoo is being sued over a recently confirmed 2014 data breach that exposed the personal details of nearly 500 million accounts.
Sky News reported that Ronald Schwartz has accused Yahoo of gross negligence and filed a lawsuit on behalf of all those affected.
The lawsuit seeks unspecified damages in compensation for Yahoo’s failure to prevent the breach by improving security measures and the company’s “reckless disregard for the security of its users’ personal information that it promised to protect”.
Although Yahoo confirmed it had reached an agreement to sell its core business to Verizon Communications for $4.83bn in cash in July this year, the deal has not yet closed and could now be in jeopardy as a result of the breach.
In a statement Verizon said: “We will evaluate as the investigation continues through the lens of overall Verizon interests, including consumers, customers, shareholders and related communities.”
Advocate at security firm AlienVault, Javvad Malik, said: “Companies will get breached, that’s not news – and I don’t think customers believe any differently. What customers do implicitly expect from companies is that threats and breaches are detected in a timely manner and remedial actions taken.
“It is essential for companies to put in place robust threat detection and response controls to be able to react in a timely manner whenever a breach occurs. This can minimise the impact to its customers and own business operations.”
View Internet News Archive