In recent months, two high-profile companies—MGM Resorts International and Google—have found themselves in the crosshairs of class action lawsuits over data breaches. The incidents have raised questions about consumer protection and corporate accountability.
The first incident dates back to July 2019 when a cyberattack compromised the personal information of over 37 million customers. Fast forward to September 2023, another breach occurred, prompting Canadians affected by these events to look for recourse. MGM has proposed a $4 million settlement for those impacted, allowing claims for substantiated losses up to $20,000.
Interestingly, MGM denies all allegations and liability regarding the data breaches. As Diamond and Diamond Lawyers LLP stated, “No court has found MGM liable. The parties agreed to settle to avoid the risk and expense of continued litigation.” This raises an important point: is settling an admission of guilt or merely a strategic move?
The settlement approval hearing is set for May 25. Until then, eligible Canadians can prepare their claims. For unsubstantiated losses, compensation is capped at $150 for one incident or $300 for both breaches. Will this be enough to satisfy those affected?
Meanwhile, Google has reached a preliminary $135 million settlement regarding the misuse of Android users’ data. This settlement could potentially include up to 100 million Android mobile users in the United States—an impressive number that underscores the widespread implications of data privacy issues.
To qualify for Google’s settlement, users must have utilized an Android phone with cellular data between November 12, 2017, and now. Payments are capped at $100 per eligible user—but that doesn’t guarantee anyone will actually receive the full amount.
As these settlements unfold, they serve as a stark reminder of the vulnerabilities present in our digital lives. Consumers are left wondering how much protection they truly have against corporate negligence.
The stakes are high for both companies and consumers alike. The outcomes of these settlements could set precedents in how data breach cases are handled moving forward.
For many affected individuals, these settlements represent not just financial compensation but also a chance to hold corporations accountable for their actions—or inactions—in safeguarding personal information.
As we await further developments, one thing remains clear: the conversation around data security is far from over.
