Skeletons in Yahoo’s 2013 Data Breach Closet

Data Breachsamantha severyn

Yahoo announced last year that their company had been hacked in 2013 affecting roughly 1-billion individuals. A multidistrict litigation rose from this information. They had also announced that a separate attack that happened in 2014 had affected 500-million accounts. Shortly after, Verizon Communications acquired Yahoo and announced that they discovered that an additional 3-billion hacks, not previously disclosed, had occurred. The multidistrict litigation over Yahoo’s 2013 data breach has been set back to square one and the California Federal Judge overseeing this case had expressed his frustration towards Yahoo for not disclosing the full truth.

Investigators on the case did not discover the full extent of the 2013 incident before Verizon closed the deal to acquire Yahoo in June 2017.  “Frankly, I don’t know how Yahoo got away with this,” said Jay Kaplan, a former Defense Department cybersecurity expert and senior analyst at the National Security Agency who is now the chief executive of the cybersecurity company Synack.

Yahoo was hit with several shareholder lawsuits after the breaches became public, and the disclosure that data on all of its accounts was compromised could increase financial liabilities for Verizon.

Check back with Pirl for an Update on this case in the near future.

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