Standing to sue is a foundation question which must be answered before proceeding with any claim for recoverable damages from a breach of cybersecurity. It is accordingly also a foundation issue in any claim for insurance coverage for a breach of cybersecurity.
As a District Court succinctly put it in a case of claims for alleged damages resulting from cyber-theft:
Theft of electronic data has become commonplace in our digital economy, victimizing millions of Americans each year. But while the resulting harm to consumers can be catastrophic, not all data breaches result in legally actionable injuries. As a result, when consumers whose data has been compromised seek redress in the courts, it must be determined whether their alleged injuries are sufficiently specific and concrete to give them standing to sue. That is the task presently before the Court in this case.
Attias v. CareFirst, Inc., No. 15-cv-00882 (CRC), 2016 WL 4250232, at *1 (D.D.C. August 10, 2016).
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