An employer has been held liable for damages in respect of malicious disclosure of data by an employee.
In WM Morrison Supermarkets v Various claimants, www.bailii.org, an aggrieved employee of Morrisons published payroll data on the internet from his computer at home.
Some 5,500 employees sued Morrisons in the civil courts for damages in respect of the disclosure.
The Court of Appeal has now upheld a decision that Morrisons are vicariously liable for the action of its employee, even though the company was not at fault and the employee’s aim was to damage Morrisons.
The court suggested that employers could insure against losses caused by dishonest or malicious employees.