Recently, Proliant Settlement Systems, LLC confirmed that the company suffered a data breach after an unauthorized party gained access to the company’s computer network and sensitive consumer data contained on the network. According to the Proliant, the breach resulted in the compromise of driver’s license numbers, social security numbers, passport numbers and financial information. On June 27, 2002, Proliant filed a formal notice of breach and sent data breach letters to all affected parties. As many as 12,697 people are said to have been affected as a result of the Proliant data breach.
If you have received a data breach notification, it is essential that you understand what is at risk and what you can do about it. To learn more about how to protect yourself against fraud or identity theft and what your legal options are following the Proliant Settlement Systems data breach, please see our recent article on the subject. here.
What we know about the Proliant Settlement Systems data breach
Based on an official filing with the state attorney general’s office, Proliant first learned of the incident around July 16, 2021. Evidently, at that time, Proliant was informed that there was unauthorized access to its cloud computing provider, which may have exposed consumer data in Proliant’s possession.
After discovering that sensitive consumer data was accessible to an unauthorized party, Proliant Settlement Systems then reviewed the affected files to determine exactly what information had been compromised. Although the information disclosed will vary depending on the person, it may include your name, driver’s license number, social security number, passport number, and financial information.
On June 27, 2022, Proliant Settlement Systems sent data breach letters to everyone whose information was compromised as a result of the recent data security incident. Based on the most recent filings, the Proliant Settlement Systems breach affected 12,697 people.
More information about Proliant Settlement Systems, LLC
Proliant Settlement Systems, LLC is a financial and technology company specializing in the development of software that enables individuals to open their own securities companies. Proliant has created a turnkey franchise system that the company says simplifies the process of starting and running a title company. The company supports new and existing title companies by providing IT infrastructure, centralized processing, pre-launch training, back-office title production, quality control reviews, post-closing support and continuous support. Proliant Settlement Systems employs over 50 people and generates approximately $5 million in annual revenue. Proliant Settlement Systems, Inc. is based in Auburn Hills, Michigan.
Liability following a data breach
The Proliant data breach is relatively recent news and more information is expected to be released in the near future. However, at this point, it appears that Proliant’s breach involved unauthorized access to the company’s computer network, which allowed the unauthorized party to access sensitive data of individuals who may not have known not even that Proliant had their information. This is because Proliant acts as a seller to its franchise holder title companies.
In a situation like this, determining who is responsible for a data breach can be complex, and consumers whose information has been leaked may not know where to turn for redress.
Generally, any business that retains, stores, transmits, or receives consumer data has a legal obligation to the consumer. It generally does not matter whether the organization in possession of a consumer’s information received the data directly from the consumer or through a third-party provider – the question is whether the party disclosing the information has of negligence.
With respect to the Proliant data breach, based on currently available information, it would appear that Proliant is the most likely responsible party, although it is too early to say whether the breach was the result of negligence by the company. In the context of a data breach, a victim can prove a company was negligent by establishing the following:
The organization owed the victim a duty of care;
The organization failed in its duty to the victim;
The organization’s negligence caused or contributed to the victim’s harm (ie identity theft); and
The victim suffered economic or non-economic harm as a result.
Although it sounds simple, proving these elements can be difficult, especially when multiple companies are involved. An experienced data breach attorney can help Proliant data breach victims assess their options and determine whether they can take legal action against the company.