Schwartz Vs. Yahoo Inc.: Case Study

The bank record theft was exposed April 28, 2005 when police in Hackensack, New Jersey charged nine people, including seven bank workers, in an alleged plot to steal financial records of thousands of bank customers. Bank of America and Wachovia Bank were the two biggest banks that were affected by this large banking breach in 2005. 670,000 customer account information was stolen by bank employees. In addition to confidential banking information, the thieves also obtained employment information for these same accounts. Customer account numbers and balances were allegedly sold to a middleman, then the information was sold to collection agencies. On a smaller scale, other banks were also affected by the theft such as, Commerce Bancorp and PNC Financial Services Group. Bank of America is constantly, having to communicate with their customers to reassure them that those that customer their accounts are not experiencing fraud or identity theft. Both Bank of America and Wachovia customers whose account information was stolen during this breach were to receive complimentary one-year credit monitoring service along with having each account directly monitored by the

An intentional tort case is proved by the plaintiff showing that the defendant intentionally injured him/her (1). In a negligence case, the plaintiff shows that the defendant did not act carefully as the law requires and therefore should be liable for any damages to the plaintiff (1). The strict liability cases occur when a plaintiff suffers damages even though the defendant acted carefully and with no intent of harm being done to them (1).

It has come to my attention from the security analysts of VL Bank and victims that commercial customers of VL Bank have been involved in identity theft and fraud. Multiple user accounts were created without authorization claiming the identity of our customers. These fake accounts were used to make twenty-nine transfers of $10,000 each, equaling $290,000. The bank transfers were being sent to several U.S. bank accounts of unknown individuals. The U.S. banks involved in the transfers were Bank A in California, Bank B in New York, Bank C in Texas, and Bank D in Florida. After the funds were transferred to one of these banks, the funds were

There have been 23 claims recorded in the interest of Yahoo clients asserting they were hurt by the hack, as per the documenting.

In 2006 AOL, inadvertently, made public personal information, of some 650,000 of its members. “The members filed suit with California federal district court, on behalf of themselves and a putative nationwide class of AOL members, alleging violations of federal electronic privacy law, 18 U.S.C. § 2702(a). A subclass of AOL members who are California residents also alleged various violations of California law, including the California Consumers Legal Remedies Act, California Civil Code § 1770.” (Doe 1 v AOL LLC, 2009)

When someone doesn’t live up to their responsibility of exercising care, and that failure leads to another person’s injury or death, the action or lack of action is referred to as negligence. As an example, say someone causes a fatal accident because they were speeding. In this case, the driver who was driving above the speed limit acted negligently, and therefore can be held liable in court for damages caused. The victim’s surviving family members can also file a wrongful death lawsuit alleging that the driver who caused the crash owes them damages associated with that untimely and unnecessary death.

Tort of negligence Is a major aspect of tort law and holds a large bearing in many civil cases. Negligence is simply a breach of duty or a

The first legal concepts we will cover are Torts. By definition a tort is a civil wrong or wrongful act, whether intentional or accidental, from which injury occurs to another. Now when dealing with torts the first question that needs to be answer is a question of liability. There are: intentional liability, negligence liability, and strict

Business Law-Law Business and Society states that torts are, “civil wrongs not arising from contracts.”(McAdams. P. 278) Torts involve a breach of duty resulting in loss and or injury. Negligence is defined as, “situations in which harm is caused accidently, and no intent is present.” (McAdams. p.279)

“Every year for the past 15 years, the Federal Trade Commission has ranked identity theft as the top consumer complaint” (Buck 1). These consumers want

When an email account was originally established between Yahoo and Lane Corporal Ellsworth, a privacy and right to secure and not disclose information was initiated. The terms of service state in the company’s policies, that the account is non-transferable and any rights to your Yahoo ID or contents within your account terminate upon your death, upon receipt of a death certificate, your account may be terminated and all contents will be permanently deleted. When the parents of LCpl Ellsworth reached out to Yahoo requesting access to the account, Yahoo committed and obligated to withhold the information. While the companies’ condolences went to the family, it was honoring the terms of agreement. Yahoo has over 1 billion active monthly account users (Smith, 2016), all holding the same user agreement, regardless of circumstance; they should uphold the trust of the client – company

Torts of negligence are breaches of duty that results to injury to another person to whom the duty breached is owed. Like all other torts, the requirements for this are duty, breach of duty by the defendant, causation and injury(Stuhmcke and Corporation.E 2001). However, this form of tort differs from intentional tort as regards the manner the duty is breached. In torts of negligence, duties are breached by negligence and not by intent. Negligence is conduct that falls below the standard of care established by law for the protection of others against unreasonable risk of harm(Stuhmcke and Corporation.E 2001). The standard measure of negligence is the universal reasonable person standard. The assumption in this case is that a reasonable

Presented are four separate cases that have been argued and settled in a court of law. Each of these cases represent a different kind of tort, a tort is a civil wrong or wrongful act, which can be either intentional or accidental, from which injury occurs to another (Hill & Hill n.d.). The torts are as listed, intentional, criminal, negligence, and liability as presented in the four researched cases.

Negligence is the failure to exercise due care or diligence that a reasonable or prudent man would exercise in similar circumstances. The law of negligence falls under tort law where it involves harm that is caused by carelessness and not intentional harm (Katter, 2002). A tort is a civil wrong that is in the form of a breach of duty, which amounts to legal remedy that is awarded in damages. Tort law rests upon two principles that state that an act or omission by the defendant interferes with the rights of the plaintiff, which in turn causes damages (Trindade, 2007). Secondly, the interference caused by the defendant gives rise to a cause of action for damages that are as near as possible to the plaintiff’s loss. Therefore, negligence can be defined as doing something that a reasonable man would not have done in similar circumstances or failure to do what a reasonable man would have done which amounts to infliction of harm.

All the consumers affected were also made vulnerable to subsequent identity theft given malicious attackers stole their personal data. Equifax was directly affected since its stock began to plunge immediately the news was made public. Additionally, the corporate governance of the company was tarnished given three Equifax executives sold shares worth around $2 million days after the breach discovery, and the “retiring” of the chief security information officers is questionable (Surane & Melin, 2017). Also, the company was exposed to litigations with some lobbyists and interest groups pushing regulators to hold Equifax accountable for the negligence and poor treatment of affected consumers. The proposed new data security laws will present a greater burden to other corporations. Two such laws are the Promoting Responsible Oversight of Transactions and Examinations of Credit Technology (PROTECT), and Freedom From Equifax Exploitation (FREE) will attract more government scrutiny and limit the type of personal data that companies can collect from customers (Alperan, Carter, & Sofio, 2017).