Legal Tech News and Events: August 1, 2022

Data Breach: T-Mobile Agreed to Pay a Total of $500 Million to Settle Class-Action Lawsuit

After the massive data breach in 2021 that victimized 76.6 million customers, T-Mobile has agreed to pay a total of $500 million to settle the class-action lawsuit.

In a proposed agreement, released on July 22, 2022, T-Mobile will pay $350 million fund will be for the legal fees, lawyers, and the affected persons. The remaining $150 million is agreed to be for the improvement of the company’s “data security and related technology in 2022 and 2023."

Additionally, according to the document the telecommunications giant denied the allegations that it failed in its role to protect the customer’s information which resulted in violations of state consumer laws.

In August 2021, T-Mobile announced that they were a victim of a third-party data breach. Hackers were able to get personal information such as names, social security numbers, addresses, and driver's license information.

Regulation: American Data Privacy and Protection Passed by House Committee

On July 20, 2022, the U.S. House of Representatives Committee on Energy and Commerce approved H.R. 8152, or the American Data Privacy and Protection Act (ADPPA). The comprehensive federal data privacy bill is headed to the House floor for a vote.

The Committee considered and agreed to a number of amendments including:

  • H.R. 5313 or Reese’s Law - A bill protecting "children and other consumers against hazards associated with the accidental ingestion of button cell or coin batteries"
  • H.R. 8152 or the American Data Privacy and Protection Act
  • H.R. 3962 – “the Securing and Enabling Commerce Using Remote and Electronic Notarization Act of 2021”

Before the enactment of the ADPPA, it will need the approval of the senate and it will take 180 days after enactment. Even if this bill will be passed or not, it is evident that this is a start for lawmakers to continue to protect the privacy of US citizens.

The InfiniGlobe team has decades of legal technology assessments for fortune 500 corporations, reach out to us at info@infiniglobe.com or at (833) LGL-TECH.

  • Privacy
  • Regulation
  • Data Breach

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