Prevailing Data Breach Defense Curbed By 7th Circ.

By Jody Godoy (July 21, 2015, 9:36 PM EDT) -- The Seventh Circuit's finding Monday that Neiman Marcus customers affected by a hacking incident are likely to suffer some form of future fraud will curtail defendants' use of a Supreme Court ruling that plaintiffs suing over a potential injury must prove impending certainty, a commonly cited precedent in data breach litigation, attorneys say.

With its decision, the Seventh Circuit became the first federal appeals court to address whether the high court's 2013 decision in Clapper v. Amnesty International — which held that plaintiffs suing over a future potential injury must show that it is "certainly impending" — applies in a data...

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