[Exclusive] 'SKT hacking' class action lawsuit "Requests for an American-style presidential election pledge"

Group litigation law firm decides to deliver proposal to National Assembly
Demands such as ‘opt-out’ apply to all victims
“Realize group rights by improving the group litigation system”

While 235 users who were harmed by SK Telecom (SKT) SIM information hacking are filing a lawsuit against SKT for damages, the victims are raising their voices calling for the introduction of an 'American-style class action' system in which the effect of the judgment is applied to all victims instead of the current group lawsuit system.

According to the legal community on the 29th, all victims of the SKT group lawsuit and Daeryun Law Firm, their litigation representative, plan to send a legislative proposal to this effect to the National Assembly Legislative and Judiciary Committee and the Science, Technology and Communications Committee on the 30th. We plan to make additional requests as part of our presidential election pledge.

The American-style class action lawsuit they are requesting stipulates that when multiple consumers or investors suffer a small amount of damage due to the same or similar causes, the effect of the judgment applies to all victims. A representative files a lawsuit collectively on behalf of all victims. It can be widely used in various fields such as the environment, pollution, consumer damage, and stock trading.

The advantages of the U.S.-style class action lawsuit include △effective relief of small and large numbers of damages, △increased deterrence against companies and the possibility of recovering damages, and △an ‘opt-out method’ of receiving the effect of the judgment without separate active consent. If any victim files a lawsuit for the benefit of the group and wins, the opt-out applies unless a separate request for exclusion is made.

In fact, after a hacking incident at T-Mobile in the U.S. in 2021 led to the leak of 76.6 million customer information, including social security numbers and driver's license information, a lawsuit was filed and a settlement of $500 million (approximately KRW 655 billion) was paid. Compensation of up to $2,500 (approximately 3.28 million won) was provided per individual.

On the other hand, among our group lawsuits, consumer group lawsuits stipulate that consumer groups that meet certain requirements can request prohibition or suspension of illegal acts by businesses that infringe on the rights and interests of many consumers. However, this has the limitation of not being able to claim monetary damages.

In addition, unlike the United States, our group lawsuit is a joint lawsuit. Victims must directly participate in the lawsuit to receive compensation. It does not result in punitive damages or automatic full victim relief. They argue that due to these institutional limitations, the actual scale of compensation and social impact of the SKT group lawsuit is bound to be significantly limited compared to the United States.

Daeryun officials expressed concern, saying, “American-style class action lawsuits are effective in realizing the rights of the entire group by protecting even passive victims, but due to the limitations of our system, the actual amount of compensation and corporate responsibility is still lower than in the United States.”

He then urged, “Legislation should be enacted that embraces the strengths of the United States, such as supplementing the existing consumer group litigation system and establishing an opt-out method and anti-fraud prevention device.”

Reporter Kim Ye-ji (yesji@fnnews.com)

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[Exclusive] 'SKT hacking' class action lawsuit "Request for US-style presidential election pledge" (link)