Morrisons data leak trial heads to High Court

A landmark legal battle for damages involving more than 5,500 Morrisons employees following a huge data leak will enter its next phase at the High Court in London next month.

The claimants, 1,000 of whom are in Yorkshire, are seeking compensation from the supermarket giant over a breach of data security in 2014, when a former senior internal auditor at the retailer’s Bradford headquarters posted payroll information of nearly 100,000 staff on the internet, including their bank, salary and National Insurance details, addresses and phone numbers.

Andrew Skelton, an ‘insider’ who bore a grudge against his employer, was later jailed for eight years following a trial at Bradford Crown Court, which heard he sent the information to local and national newspapers and placed it on data sharing websites.

A total of 5,518 current and former Morrisons staff are pursuing a claim for damages after the High Court made a Group Litigation Order in 2015.

A trial to determine liability for the data leak is due to start on October 9 and is scheduled to last for two weeks.

The case is the first data leak class action in the UK and has potential implications for every individual and business in the country. It is thought to be the biggest-ever claim in relation to a data breach in the UK and comes amid growing concerns about cyber security.

The claimants say Morrisons failed to prevent the leak, which they argue exposed employees to the risk of identity theft and potential financial loss and was ultimately legally responsible for breaches of privacy, confidence and data protection laws.

Morrisons denies all legal liability.

If the High Court rules that Morrisons is liable for the data leak, there would then be a further ‘quantum’ trial to assess the victims’ damages.

The court case will take place against the background of a planned overhaul of UK data protection laws, with a government Bill due to be published this month.

Nick McAleenan, a partner and data privacy law specialist at JMW Solicitors, is representing the claimants.

He said: “At the trial in October, the court will decide whether Morrisons bears any legal responsibility for the misuse and disclosure of the payroll information of the many thousands of people bringing claims in this case.”

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