Data breaches have become an unfortunate but predictable reality of the modern digital age. Cybercrimes are rampant, and perpetrators can often mask themselves to go undetected while the personal private information of consumers remains exposed. When cybercriminals penetrate a company’s security measures and access consumer data such as investment accounts they put investor’s information at risk, this often occurs because the company lacked sufficient security or because of an internal breach.

A data breach class action can be a viable mechanism for hundreds or thousands of affected consumers to collect financial damages for violations of their personal privacy. An experienced securities fraud attorney at Silver Law Group can provide guidance for individuals affected by data breaches of investment accounts to seek monetary recovery.

Data Breach Of Securities And Investors

When a data breach of an investment institution or other entity that stores extensive consumer information occurs, highly sensitive personal information can become readily available to hackers. This can include names, Social Security numbers, addresses, banking information, financial details, and other confidential data.

Hackers can use this information for a wide range of illegitimate purposes. Poor security practices by financial entities and other parties that result in widespread data breaches can lead to a spike in identity theft, where hackers open banks and credit cards in victims’ names.

Not only can this have an upfront impact on the finances of data breach victims, but the sensitive data obtained by cybercriminals can result in numerous instances of identity theft over the years that follow. The losses from identity fraud can last for decades, in some cases.

When investors are victimized by hackers who receive unauthorized access to their information, it may be possible to file a class action lawsuit against the organization targeted in the data breach. Even if no finding of wrongdoing occurs against the financial institution or company, investors can still be entitled to monetary compensation when a data breach leads to steep losses under that organization’s watch.

Filing A Data Breach Class Action Lawsuit

When hackers obtain sensitive data about its customers or investors from a bank, hedge fund, or other financial institution, that entity may be on the legal hook for damages in a successful data breach class action. Sometimes, it may turn out that the data breach could have been entirely avoidable if not for the company’s failure to take appropriate security measures.

When it comes to recovering compensation in this type of class action, it is vital to work with an attorney who is highly skilled in this area of law. Pursuing a data breach class action allows large groups of people to pursue legal accountability and financial compensation when their personal and financial information is exposed.

Monetary recovery in a successful class action can entail multiple forms of compensation, like the cost of time spent responding to the data breach, and reimbursement for out-of-pocket expenses.

When a lawsuit is successful, the court award or settlement is divided among the plaintiffs, usually commensurate with the degree of the losses suffered. Plaintiffs may be paid in a lump sum or structured settlement.

Speak With A Data Breach Class Action Attorney Today

Investors or other individuals who have become victims of data breaches may have legal recourse. When investors’ personal information is comprised in a data breach, this often traces back to a company’s violation of safety protocol.

The data breach class action attorneys at Silver Law Group help investors nationwide to recover losses caused by misconduct or other cybersecurity violations by financial institutions and other entities. Do not hesitate to contact us today and schedule your free consultation.