N.Y. Court: Zurich Not Obligated to Defend Sony Units in Data Breach Litigation

By | March 17, 2014

  • March 18, 2014 at 2:32 pm
    Nadia Bessamra says:
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    The third-party hackers took it. They breached the security. They have gotten through all of the security levels and they were able to get access to this,” the judge said. “[The policy] requires the policyholder to perpetrate or commit the act. It cannot be expanded to include third-party acts.”

    “Paragraph E (oral or written publication in any manner of the material that violates a person’s right of privacy) requires an act by or some kind of act or conduct by the policyholder in order for coverage to be present,” the judge said.

    “In this case,” Justice Oing said, “my finding is that there was no act or conduct perpetrated by Sony, but it was done by third-party hackers illegally breaking into that security system. And that alone does not fall under paragraph E’s coverage.”
    What does it mean?

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