Investors Urge 4th Circ. To Revive Marriott Data Breach Suit

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By Caleb Drickey (November 15, 2021, 6:59 PM EST) — A pension fund whose investments in Marriott Corp. plummeted in value in the wake of a data breach told the Fourth Circuit that a federal judge wrongly ignored evidence that the hotel giant’s board of directors misled investors about the company’s commitment to cybersecurity.

In a brief filed Friday, the Construction Laborers Pension Trust for Southern California argued that Marriott’s failure to publicly disclose privately held concerns about IT deficiencies after its 2016 acquisition of Starwood Hotels deprived investors of their right to accurate information.

“Defendants knew about and recklessly ignored the dangerously deficient state of the IT system it acquired…

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