"Fear and Loathing in Luxembourg"

Quantum and class certification in data privacy mass claims after the first ECJ and BGH decisions

Data breaches frequently lead to mass claims. With the European Court of Justice (ECJ) finding that there is no "seriousness threshold" for claims and the German Federal Supreme Court (BGH) confirming that pure loss of control can constitute a compensable event, recent court decisions create a claimant-friendly environment. With both courts delegating the task of determining damages to the lower courts, a key issue for data breach claims remains unresolved. This article outlines an evidence-based framework for the economic analysis of data privacy damages covering market- and individual valuation. The article also assesses whether survey-based conjoint analysis can provide an empirical indication of the variation in the valuation of the data; allowing courts to assess the issue of commonality of valuation based on empirical evidence.

1. Introducti...

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Quantum and class certification in data privacy mass claims after the first ECJ and BGH decisions

1. Introduction

2. Legal basis

3. Economic methods for valuation of personal data

3.1. Market prices

3.2. Financial results per data record

3.3. Individual valuation

4. Conclusion