In the wake of the HMRC data loss fiasco, it appears that some data protection snake oil could be being hawked.

Consumers are being warned by Pinsent Masons solicitors to steer clear of packs being sold by some companies that claim to help the victims of the HMRC data loss claim compensation.

One company is selling compensation packs for £5.99, reports Out-Law.com.

However, it turns out that the burden of proof lies heavily with the claimant. They have to demonstrate they have actually suffered damage or loss as the result of a data breach to successfully claim under the Data Protection Act (DPA).

Pinsent Masons also point out that information on how to claim compensation is freely available from the Information Commissioner's Office.

Paraphrased from the article:

Dr Chris Pounder, a privacy specialist at Pinsent Masons, said: "Compensation cannot be awarded by a Court just because an individual is very upset or angry about the loss of personal data, or because they think they may have been damaged by the loss."

"The DPA requires individuals to prove the link between the damage that was caused by the loss of personal data to the particular incident where the loss occurred. If this link is proved, then compensation for the actual damage can be awarded. However, this damage has to be measurable and quantifiable and damage cannot be "created" in support of a claim," he said.

The Information Commissioner's Office freely publishes information on how someone can seek compensation for any damage suffered from a breach of the DPA.

"You can normally only claim for any distress you have suffered if you have also suffered damage," says its guidance. "Even when you can show the court the exact sum of money you have lost as a result of the breach of the Act, it is still up to the judge to make the award and he may reduce your claim or award [to] nothing at all."