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Coupang Assures No Lawsuit Waiver in Data Breach Compensation Plan

Seoul: Coupang's interim head, Harold Rogers, assured during a parliamentary hearing that the company's compensation strategy for a recent data breach will not require customers to forgo their right to pursue legal action against the e-commerce giant.

According to Yonhap News Agency, Rogers clarified in response to Democratic Party's Rep. Hwang Jung-a that the compensation plan's vouchers will not include conditions that prevent civil or criminal lawsuits. He emphasized that such provisions would not serve as a mitigating factor in any potential U.S. lawsuits.

Earlier this week, Coupang announced a compensation plan valued at 1.685 trillion won (US$1.17 billion), following an apology from founder Kim Bom-suk regarding the data leak. Initially, Coupang reported that the breach exposed the personal data of 33.7 million customer accounts, but later revised the figure.

Coupang has identified a former employee as responsible for the leak through forensic analysis, recovering equipment used in the breach and obtaining a confession. The company claims only about 3,000 accounts were affected, with data saved and later deleted by the suspect.

Rogers stated the investigation was conducted with Seoul government cooperation, countering claims of a self-investigation. However, the government has labeled Coupang's findings as a "unilateral claim," with a joint public-private investigation yet to conclude.

Science Minister Bae Kyung-hoon confirmed the breach affected over 33 million customers, criticizing Coupang for releasing a report that allegedly downplayed the incident's scope.

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