Our most recent PLUS webinar, “Pixel Tracking: Privacy, Litigation & Professional Liability Exposure,” provided a comprehensive overview of the evolving landscape of website tracking technologies, the legal risks they pose, and the implications for professional liability. Led by Jim Monagle, an experienced litigator specializing in data privacy, the virtual event offered valuable insights into the current state of privacy litigation, regulatory trends, and best practices for risk management.

The Expanding Scope of Website Tracking Litigation

The webinar highlighted how litigation related to website tracking technologies—such as Meta Pixel, Google Analytics, and session replay tools—has surged in recent years. Claims are often based on statutes like the California Invasion of Privacy Act (CIPA), the Electronic Communication Privacy Act (ECPA), and state-specific laws protecting health and video privacy. Courts are increasingly interpreting these statutes broadly, sometimes considering even basic website navigation data as “contents of communication,” which expands potential liability for website operators.

Consent Management and Privacy Policies Are Under Scrutiny

A recurring theme was the critical importance of properly configured consent management tools and accurate privacy policies. Many lawsuits arise from vague or inaccurate privacy disclosures, or from misconfigured consent banners that fail to prevent unauthorized data sharing. The gold standard, according to Mr. Monagle, is opt-in consent—ensuring that no tracking technologies are activated without explicit user approval.

Settlement Trends and Litigation Tactics

The session detailed how settlements in this area have historically been low as a percentage of statutory damages, but the sheer volume of website visitors can still result in significant payouts. Plaintiffs’ counsel are increasingly using “shakedown” demand letters and class action threats to drive settlements, often targeting the cost of defense as a benchmark. The trend toward claims-made settlements and the recycling of professional claimants were also discussed as emerging challenges.

Best Practices for Risk Management

To mitigate exposure, organizations should regularly audit their websites to understand what tracking technologies are in use and what data is being shared. Implementing robust opt-in consent mechanisms, ensuring privacy policies accurately reflect data practices, and including contractual limitations on third-party data use are all essential. The speaker also recommended considering arbitration clauses to reduce class action risk and exploring anonymization tools to limit the sharing of personally identifiable information.

Why This Webinar Matters for Professional Liability Practitioners

This webinar underscores the rapidly changing risk environment surrounding digital privacy. As courts and regulators broaden their interpretation of privacy statutes, professionals advising clients on risk management and compliance must stay informed of these developments. The session’s practical guidance on consent management, policy drafting, and risk mitigation equips practitioners to better protect their clients from costly litigation and regulatory enforcement. In an era where a single misconfigured tracking tool can trigger class action exposure, understanding these issues is essential.

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Meet the Speaker

Jim Monagle is a Certified Information Privacy Professional/U.S. (CIPP/US) who also holds an L.L.M. degree in Technology Law, and who regularly assists his clients in resolving data privacy- and technology-related disputes in pre-litigation and litigation contexts. Although Jim’s practice focuses primarily on defending clients in data privacy and security disputes, including class action litigation, he also regularly handles incident response matters and advises organizations on advisory compliance issues and best practices.

Matters Jim routinely handles as lead defense counsel include data breach class actions in state and federal court; website tracking technology/wiretapping claims against healthcare providers (as well as retailers), including based on use of Meta Pixel; claims and litigation arising from wire transfer fraud; technology-related errors and omissions (Tech E&O) claims; and other commercial litigation, including indemnity disputes. Jim has also represented organizations throughout his career in intellectual property and media liability matters, such as copyright and trademark infringement; domain name disputes and takedowns; unfair competition; false advertising; right of publicity; trade secret misappropriation; and defamation claims.

For the past decade, Jim has assisted many organizations in preparing for and responding to data privacy and security incidents and potential liability, including complying with and reducing risks related to data privacy and security laws such as the California Consumer Privacy Act (CCPA) and the evolving common law landscape nationwide; responding to incidents including interfacing with regulators, handing related regulatory investigations and addressing applicable breach notification requirements; and overseeing security enhancements and drafting and implementing data privacy and security-related policies, procedures and contracts.

News Type

PLUS Blog, Recap

Business Line

Cyber Liability, Professional Liability

Topic

Professional Liability (PL) Insurance

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