Ipswitch Blog

Sony data breach biggest ever; Lawsuit filed

| April 29, 2011 | Compliance, Data Breach, Enforcement, Managed File Transfer, Secure File Transfer

Last week’s Sony data breach shattered TJX’s longstanding record for the largest customer data theft ever, a dubious honor that TJX has held since 2007.

The massive Sony breach leaves millions and millions of credit cards at risk.  Details still aren’t clear yet, but the Sony breach *may* have included the theft of customer credit card information, as well as other personal information such as billing addresses, usernames/passwords, email addresses, birthdays, and transaction histories.

Did Sony take reasonable care to protect, encrypt, and secure the private and sensitive data of its users?

Did Sony take too long to notify customers that their personal information had been exposed?

Looks like these questions will be answered in a courtroom as the first lawsuit resulting from the Sony security breach of the personal data of more than 75 million Sony PlayStation Network customers has been filed.

The class action lawsuit seeks seeks a trial by jury and fitting monetary reimbursement…. And the case’s Overview cites “breach of warranty, negligent data security, violations of consumers’ rights of privacy, failure to protect those rights, and failure and on-going refusal to timely inform consumers of unauthorized third party access to their credit card account and other nonpublic and private financial information” as cause enough, noting Sony’s “failure to maintain adequate computer data security of consumer personal data and financial data.”

For more information, take a look at the post on the Sony PlayStation blog.  I’m sure we’ll be learning more as further breach details are disclosed and as court proceedings advance.

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Ipswitch helps solve complex IT problems with simple solutions. The company’s software has been installed on more than 150,000 networks spanning 168 countries to monitor networks, applications and servers, and securely transfer files between systems, business partners and customers. Ipswitch was founded in 1991 and is based in Lexington, Massachusetts with offices throughout the U.S., Europe, Asia and Latin America.