Damages

Definition

Monetary compensation awarded to individuals who suffer harm from privacy violations or data breaches. Privacy laws increasingly include private rights of action allowing individuals to sue for damages. Under GDPR Article 82, individuals can claim compensation for material damage (financial losses) or non-material damage (emotional distress, loss of control over personal data) resulting from GDPR violations. CCPA provides statutory damages of $100-$750 per consumer per incident for certain data breaches, even without proving actual harm. Damages serve both compensatory purposes (making victims whole) and deterrent purposes (discouraging violations). The calculation varies—some laws require proving actual harm, while others provide statutory damages without proof of specific losses. Class action lawsuits for data breaches often focus on damages claims. Organizations should maintain cyber liability insurance to cover potential damages awards and take privacy seriously to minimize exposure to damages claims.

Applicable Laws & Regulations

  1. 1GDPR Article 82 - Right to compensation and liability
  2. 2CCPA Section 1798.150 - Private right of action for data breaches
  3. 3State data breach laws - Various damages provisions

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