On September 3, the Fifth Circuit Court reversed and remanded a district court ruling that dismissed a negligence claim against Heartland Payment System based on its 2008 data breach. “Though the Fifth Circuit stopped short of deciding any dispositive issues, the decision has important implications concerning the scope of liability for data breaches” writes Westin Fellow Dennis Holmes in this Privacy Tracker blog post. Offering a breakdown of the ruling, Holmes points out why those “entities actively involved in transactions with nested parties, such as payment processing” companies may want to take note. (IAPP member login required.)
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