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Company X is publicly traded and engaged in the business of selling green technologies worldwide. The Company창?혲s network is hacked by an outside party who obtains customer information and technical documents related to a more efficient solar cell. Following the public disclosure of the cyber attack, Company X창?혲s share price drops by 9 percent within five days, response costs exceed $10 million, and several consumer class action law suits are filed. Shortly after the breach, several large pension funds initiate derivative litigation against the board of directors alleging that the loss in shareholder value and harm to the company was a direct result of the directors창?혲 failure to proactively address cybersecurity.
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