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What is the Yahoo Representative Action?

YAHOO representative

In 2014, a Russian state-sponsored cyber-attack resulted in personal data being stolen from over 500 million Yahoo user accounts worldwide. Despite evidence that the firm knew about the hack soon after it happened, the data breach wasn’t reported until September 2016.

Following its inquiry into the breach, the ICO (the UK’s data protection regulator) found that Yahoo had failed to prevent the hack. The ICO also condemned inadequacies that had been in place at Yahoo for some time without being discovered or addressed. In response, Yahoo was fined £250,000 for the data breach.

But what has happened since then?

Yahoo agrees to set up a $117.5 million compensation fund

In October 2019, a US class action settlement allowed Yahoo users to file a claim for compensation.

Under this deal, anyone who had a Yahoo account between January 1st, 2012 and December 31st, 2016 became eligible to seek a payout from the fund. People who had a Yahoo account – including traditional Yahoo email or accounts on Yahoo Fantasy Sports, Yahoo Finance, Tumblr and Flickr – during this time, could also get two years of free credit monitoring services.

But the settlement only applies to residents of the United States or Israel.

At Hayes Connor, we believe that UK customers deserve compensation too. And, in response, we are launching a representative action against Yahoo.

What is a representative action?

A representative action is a type of group action. Representative actions are launched when a group of people are affected by the same issue and have experienced the same level of harm.

Representative actions tend to be used in straightforward mass data privacy scenarios. For example, where customers of a company have had their email addresses stolen and data privacy violated.

In representative actions, one member of the action will typically sue on behalf of themselves and the rest of the group. Once compensation has been agreed, each member of the representative action will receive the same amount.

One solicitor will represent all clients. A judge will decide who this solicitor is. Because of our unique experience in data breach group actions, we expect that Hayes Connor will be appointed as the representative in many future actions – including the Yahoo data breach.

A recent data protection case has made claiming against Yahoo even easier

A recent data protection case has transformed how data breach claims will be managed in the UK. The result of this court action will impact those people in the UK consumers who had their personal details put at risk in the Yahoo data breach.

This is because, until now, to join a group action data breach claim, victims had to be able to prove that they had experienced harm as a direct result of the breach. For example, emotional distress or financial loss. However, the Court of Appeal has now decided that all data breach claims are valid, even if someone hasn’t suffered financial or emotional damage as a result. If a company does not protect your data in the way it is legally obliged to do, you can claim for this data privacy failure.

So, many more people are now free to claim from Yahoo. What’s more, following the ruling, people can now seek compensation from Yahoo, even if the only personal information breached was their email address.

Join our Yahoo representative action claim

If you are concerned that your data was treated negligently by Yahoo, contact Hayes Connor Solicitors immediately. The settlement reached in the US and the result of the ICO’s investigation in the UK mean that you could have a very strong case. There are no costs to join our group action and there is no obligation to proceed.

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