CLASS ACTION LAWSUITS IN DATA PROTECTION: A NEW CYBER RISK?

Abstract

Although Article 82 of the GDPR already provides for the possibility of the data subject claiming compensation from the data controller for moral damages, the new European regulation contemplates the possibility of data subjects filing class action lawsuits, which in other nearby countries require multimillion-dollar compensation. This scenario, given that unfair competition regulations classify the infringement of the regulations as an unfair commercial practice, opens the door to this type of legal action, which can be highly damaging to the companies sued. As described in this article, this represents a significant business risk that must be prevented and managed as such.