Cyber-related Directors and Officers Liability Claims Expected to Increase
Lane Powell Shareholder Doug Greene was quoted in a November 9 Business Insurance article titled “Cyber-related Directors and Officers Liability Claims Expected to Increase.” The article discussed cyber-related directors and officers (D&O) liability claims, which are currently rare, and why the volume of these claims will likely increase. Greene discussed the potential impact that data breaches could have on a company’s stock prices in the future.
While there have been a limited number of cyber-related D&O claims to date, “they are coming,” said Douglas W. Greene, a shareholder at law firm Lane Powell PC in Seattle.
So far, stock prices have not been affected long-term by cyber incidents, which has been an impediment to D&O litigation, “but that is bound to change; and when it changes, and stock prices start to drop upon disclosure of a breach … the plaintiffs lawyers will be there,” he said.