The next chapter in the story about the recent Yahoo password breach is coming to fruition as a New Hampshire man filed a lawsuit against Yahoo last week. He’s alleging that a breakdown of Yahoo’s security measures allowed hackers to get into their database and steal the previously reported 450,000 passwords. This individual is seeking class-action status in his lawsuit, and asking Yahoo to pay those effected for account fraud and identity theft protection.
This lawsuit could be bad for Yahoo and other companies if consumers decide to litigate more against these types of breaches. However, maybe it could help increase security as companies will want to avoid lawsuits and losing customers (trying to find the silver lining here). Of course more likely companies will simply augment their ToS to prevent such lawsuits.
via CNET.com
A New Hampshire man filed suit against Yahoo this week alleging that lax security measures allowed hackers to get into a Yahoo database and steal passwords from 450,000 accounts.
In his lawsuit seeking class-action status — filed in federal court in San Jose, Calif., on Tuesday (PDF) — Jeff Allan is asking the court to order Yahoo to compensate him and others for “resulting account fraud” and measures people had to take to protect against identity theft.
Not only was Allan’s Yahoo password stolen but someone also had accessed his eBay account without his permission after the Yahoo breach because he had used the same log-in credentials there, according to the suit. He also said he bought a subscription to Experian credit monitoring services for $14.95 a month.
Continued here.
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Do you think that the Yahoo lawsuit is the beginning of others to follow? Post your comments below. Today’s post pic is from eWeek.com.