Bloomberg Law: Privacy & Data Security brings you single-source access to the expertise of Bloomberg Law’s privacy and data security editorial team, contributing practitioners,...
Nov. 25 — Yahoo! Inc. doesn’t have to respond immediately to a putative class action suit in British Columbia over the revelation that personal information associated with at least 500 million accounts was stolen in a 2014 data breach, the complainant’s lawyer told Bloomberg BNA.
It is unclear what impact the slow moving Canadian litigation may have on Verizon Communications Inc.'s pending takeover of Yahoo. More concerning to the companies may be that consumers have filed 18 U.S. federal court class action complaints against Yahoo that are awaiting consolidation action by the Judicial Panel on Multidistrict Litigation.
According to the notice of civil claim, the Canadian defendant must respond within 21 days while a U.S. defendant must respond within 35 days.
However, plaintiff Jagdeep Gill’s lawyer, K.S. Garchan, told Bloomberg BNA Nov. 22 that informal agreements between counsel mean that a defendant doesn’t need to file a defense until such time the court certifies the proposed class action.
The complaint, filed Sept. 26 in the Supreme Court of British Columbia, asserted negligence, breach of privacy, breach of fiduciary duty, breach of contract and negligent misrepresentation Gill v. Yahoo! Canada Co. & Yahoo! Inc., No. S-168873, complaint filed 9/26/16 .
The Gill suit is currently the only one in Canada, over the alleged data breach.
Garchan said no hearing dates have been set. “It’s the way the practice has developed,” he said. full pleadings would be made at the time of certification or after, he said.
Yahoo announced Sept. 22 that the personal information of at least 500 million users was stolen in the attack, exposing a wide swath of its roughly 1 billion users ahead of Verizon Communications Inc.’s planned acquisition of the web portal’s assets.
Gill’s lawsuit asserted Yahoo “acted with reckless disregard for the security of its users’ personal and/or financial information that it promised to protect and failed to implement reasonable security measures to protect its users’ sensitive personal and/or financial information, despite it being the target of data breaches in the past.”
The suit said that Yahoo advised users to put security freezes on credit accounts. It argued that users should be compensated for each freeze but said that Yahoo has offered no compensation.
With Gill as representative claimant, the suit is brought on behalf of all British Columbia residents “who were or are account holders of the defendant.”
Yahoo is the tenth largest Internet media company in the world with a $39.22 billion market capitalization, Bloomberg data show.
The media relations unit at the company’s Sunnyvale, Calif. Headquarters didn’t respond to Bloomberg BNA requests for comment. Barbara Wahl, a Vancouver lawyer listed in the suit as Yahoo!’s Canadian attorney, also didn’t respond to Bloomberg BNA’s requests for comment.
To contact the reporter on this story: Jeremy Hainsworth in Vancouver at firstname.lastname@example.org
To contact the editor responsible for this story: Donald Aplin at email@example.com
Copyright © 2016 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to email@example.com.
Put me on standing order
Notify me when new releases are available (no standing order will be created)