Hiscox Loses Bid to Hold Law Firm Accountable for Data Breach

April 1, 2022, 12:31 PM UTC

Hiscox Insurance Co. lost its lawsuit against Warden Grier LLP alleging that the law firm’s handling of a data breach exposed the insurer’s confidential data, after a federal jury in Missouri issued a verdict in favor of the law firm.

Hiscox sued in 2018 after Warden Grier purportedly experienced a hack that put personal information of its clients at risk. Hiscox said the hackers accessed the computer system containing “all of the sensitive information.” The insurer further alleged that the law firm paid the hacker a ransom in an attempt to keep the compromised information secure, but didn’t notify the insurer about the breach.

U.S. District Judge Nanette K. Laughrey of the Western District of Missouri denied Warden Grier’s motion to dismiss most claims in July 2020.

The three-day trial began March 28, and the jury handed up its verdict Thursday.

The suit included claims for breaches of contract, implied contract, and fiduciary duty, as well as for professional negligence.

Hiscox was represented by Spencer Fane LLP. Warden Grier was represented by Horn Aylward & Bandy LLC.

The case is Hiscox Ins. Co. Inc. et al v. Warden Grier LLP, W.D. Mo., No. 4:20-cv-00237, jury verdict 3/31/22.


To contact the reporter on this story: David McAfee in Los Angeles at dmcAfee@bloomberglaw.com

To contact the editors responsible for this story: Rob Tricchinelli at rtricchinelli@bloomberglaw.com; Nicholas Datlowe at ndatlowe@bloomberglaw.com; Carmen Castro-Pagán at ccastro-pagan@bloomberglaw.com

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