This is the property of the Daily Journal Corporation and fully protected by copyright. It is made available only to Daily Journal subscribers for personal or collaborative purposes and may not be distributed, reproduced, modified, stored or transferred without written permission. Please click "Reprint" to order presentation-ready copies to distribute to clients or use in commercial marketing materials or for permission to post on a website. and copyright (showing year of publication) at the bottom.

Consumer Law
Consumer Protection
Fraud

In re Anthem Inc. Data Breach Litigation

Published: Mar. 26, 2016 | Result Date: Feb. 14, 2016 | Filing Date: Jan. 1, 1900 |

Case number: 5:15-md-02617-LHK Bench Decision –  Dismissal in part

Court

USDC Northern


Attorneys

Plaintiff

Eric Kafka
(Cohen, Milstein, Sellers & Toll PLLC)

Sally M. Handmaker
(Cohen, Milstein, Sellers & Toll PLLC)

Jonathan D. Weissglass
(Law Office of Jonathan D. Weissglass)

Eve H. Cervantez
(Altshuler Berzon LLP)

Andrew N. Friedman
(Cohen, Milstein, Sellers & Toll PLLC)


Defendant

Maren J. Clouse
(Office of the San Jose City Attorney)

Craig A. Hoover

Chad R. Fuller
(Troutman Sanders LLP)

Peter R. Bisio
(Hogan Lovells US LLP)

Allison M. Holt
(Hogan Lovells LLP)

Lucile H. Cohen

E. Desmond Hogan
(Hogan Lovells US LLP)

Michael M. Maddigan
(Hogan Lovells LLP)

John D. Martin


Facts

Several parties filed separate complaints against Anthem Life Insurance Co. and its affiliates that were later consolidated into a class action. The matter concerned a massive data breach.

Contentions

PLAINTIFFS' CONTENTIONS:
Defendants allegedly allowed hackers to infiltrate its database system, exposing sensitive personal information of millions of customers. Defendants allegedly failed to notify the affected customers of the massive breach until much later. Some customers claimed they never received information regarding the breach. Plaintiffs asserted causes of action for negligence, negligence per se, breach of contract, breach of contract, breach of implied covenant of good faith and fair dealing, third-party beneficiary claim for breach of contract under federal law, negligent misrepresentation, unjust enrichment, violation of various state consumer protection laws, violation of various state data breach statutes, violation of various state unfair insurance practice statutes, violation of various state insurance personal information privacy statutes, and violation of various state medical and health information privacy statutes.

DEFENDANTS' CONTENTIONS:
Defendants moved to dismiss plaintiffs' claim for negligence under Indiana law, breach of contract under California law, unjust enrichment under New York law, the alleged violation of Kentucky's Consumer Protection Act, and plaintiffs' UCL claims for lack of standing. Defendants also argued that plaintiffs' Georgia Insurance Information and Privacy Protection Act claim failed for lack of damages. Plaintiff's data breach notification claim under Kentucky law also failed because defendants were exempt from the statute and plaintiffs lacked standing to assert the cause of action. Moreover, defendants claimed that plaintiffs' third-party beneficiary claim under federal law should also be dismissed.

Result

The federal court granted in part and denied in part Anthem's motion to dismiss.

Other Information

FILING DATE: June 12, 2015.


#88868

For reprint rights or to order a copy of your photo:

Email jeremy@reprintpros.com for prices.
Direct dial: 949-702-5390