The litigation surge is fueled by the DPPA's statutory damages provision, which allows plaintiffs to recover a minimum of $2,500 per violation without proving actual financial harm. Courts are now grappling with standing requirements, with mixed results. The Fifth Circuit has narrowed consumer claims following data breaches, while the Southern District of Florida recently dismissed a DPPA parking dispute for lack of concrete injury. The scope of what constitutes actionable harm remains unsettled.
Attorneys should monitor this trend closely. The DPPA, enacted in 1994, has historically seen limited enforcement against private commercial users—until now. As ALPR technology has proliferated since 2020, the plaintiffs' bar has shifted strategy, suing data users directly rather than pursuing the attorney solicitation tactics that the Supreme Court curtailed in Maracich v. Spears (2013). Businesses relying on ALPR systems face significant financial exposure, and the legal landscape remains volatile as courts continue to define the boundaries of standing and injury in these cases.