If you’ve experienced the same type of problem as millions of other Equifax consumers, you may want to consider joining a lawsuit. Although you will give up your right to file separate legal claims or demand further compensation, it may be the best option for you. Read on to find out how to join the Equifax lawsuit and how it affects you. Here are three common questions you may have when considering whether to file a lawsuit against Equifax.
Class action lawsuit
In a recent decision, the US District Court for the Northern District of California upheld a class-action lawsuit against Equifax on behalf of credit cardholders. The suit alleges that the company made false and misleading statements about cybersecurity, compliance, and internal controls related to the massive data breach that occurred in 2017. At the time, the company touted its efforts to prevent identity theft and protect consumer data. However, despite this, the company has not ceased to violate its own rules.
The decision, in part, found that Equifax, along with three individual defendants, acted with scienter and gross negligence. Smith and the other defendants also committed scienter and gross negligence. The court noted that these two companies knowingly and intentionally failed to implement reasonable procedures to prevent the breach, as well as implementing illegal and deceptive practices. The company’s failure to implement proper procedures to protect consumers’ data was inexcusable, as the breach could have been prevented.
The Equifax data breach caused an outpouring of outrage among consumers and politicians and served as a wake-up call to the risks of data breaches. The settlement funds, in turn, cover the costs of attorney’s fees, class benefits, and administration. The funds are not yet final, however, and will depend on the number of class members making claims. As a result, it is difficult to speculate about how much money will be recovered for Equifax consumers.
If you have been impacted by the Equifax data breach, you may want to file a claim for damages through a class-action lawsuit. The lawsuits filed against Equifax are a result of the company’s failure to properly safeguard the data is collected from consumers. While the damages claimed in these lawsuits are significant, the number of victims is much lower than those who have experienced identity theft. To file a claim, you must first fill out a Claim form to join the Equifax lawsuit.
The data breach affected 145 million U.S. consumers, exposing their personal information of many of them. The company has agreed to pay $700 million in settlements and set aside $500 million to compensate the victims. But a large portion of that money is still unclaimed. This makes the process of filing a claim to join the Equifax lawsuit so much more complex than it appears. In addition to the cash payout, the settlement offers many other benefits for the victims, including free credit monitoring, identity theft protection, and free credit reports for 10 years.
Anyone who was affected by the Equifax data breach can find out whether their information was exposed and file a claim. Parents should look to see if their children’s data was compromised as well since their children’s Social Security numbers are like platinum to identity thieves. By filing a claim, you are giving Equifax the chance to repay victims for the financial damage they experienced. It will be difficult to prove that you’re not a victim of the Equifax data breach, but you can at least get a claim for the loss of identity.
Impact of a data breach on consumers
There are many hidden costs of a data breach, which are not easy to identify. These costs can include legal fees, PR, investigations, and insurance premium hikes. Companies will also likely face regulatory fines, which are a fact many companies fail to recognize. In the case of AT&T, for example, the breach exposed thousands of accounts. Other companies, such as Yahoo, have revised their statements after discovering that all of their users’ data had been exposed.
With eCommerce and mobile work becoming more prevalent, more people are connected online. However, 30% of breaches involved internal actors who compromised sensitive data. Companies should consider the implications of this if they want to continue providing valuable services to consumers. Consumers are less forgiving of newer industries, and new businesses had less time to build their brand reputations and recover from their data breaches. This may also have affected the ability to attract new customers and recruit new employees.
Despite the financial costs, many companies do not realize how damaging a data breach can be to their reputations. Studies have shown that up to 65% of consumers will stop doing business with a company if they discover a data breach. More than half will also tell their friends and family about it. Additionally, over 35% of consumers will vent their frustrations on social media. Because news travels fast, an organization could become a global news story within hours of disclosure. A negative press can be irreparable.