In advance of the Jan. 20 hearing to approve the $350 million settlement of the T-Mobile data breach class action lawsuit, InformationWeek went to legal experts to explore what the hefty settlement might mean for the future of data breach responses.  

Stephen Toland, who heads the White-Collar and Regulatory Law section at law firm FBFK, told InformationWeek: “A large settlement like this can influence decisions about the types of damages that are considered to be coverable, the amount of damages that should be awarded, and the legal standards that should be applied to determine liability.” 

Beyond the financial impact of a lawsuit or regulatory fine, companies also face the prospect of costly reputational damage. “The financial impact of a fine may be less significant in motivating organizational investment in cybersecurity than the potential reputational damage or loss of consumer trust that could result from the data breach,” said Toland. 

You can read the full story, “T-Mobile’s $350M Settlement and the Future of Data Breach Consequences,” here.