Terms Unconditional

Email Providers · Email Provider · Regulatory action + Data breach

Yahoo Mail

Headline

Three billion accounts - every Yahoo account in existence - taken across breaches in 2013 and 2014, still the largest breach by record count in internet history.

Three billion accounts - every Yahoo account in existence - taken across breaches in 2013 and 2014, still the largest breach by record count in internet history. The part that should land harder than the number is the concealment: the SEC found that information about the 2014 breach was reported to Yahoo's senior management and legal department, that Yahoo failed to properly investigate it, and that the breach was not disclosed to the investing public until more than two years later, in 2016, while Yahoo was in the process of closing the sale of its operating business to Verizon. Yahoo paid $35 million to the SEC for that disclosure failure, $117.5 million to users, $80 million to shareholders and $29 million in a shareholder derivative settlement (paid by insurers on behalf of the former officers and directors, together with Verizon) - roughly $261.5 million total. The users' $117.5 million fund covered a settlement class of as many as 194 million people in the US and Israel, not all 3 billion accounts. Passwords had been hashed with MD5, which was already considered broken.

  • SeveritySeverity 5 of 5. Three billion accounts - every Yahoo account in existence - taken across breaches in 2013 and 2014, still the largest breach by record count in internet history.
  • Evidence tierUnassigned
  • Claims confirmed3 of 17 claims confirmed against a primary source
  • Last verified2026-08-04

Primary source. en.wikipedia.org/wiki/Yahoo_data_breaches — Verified - primary source confirmed.

Last verified 96 days agoverified 96 days ago0180 days
Freshness. Last verified 96 days ago (2026-08-04); stale after 180 days.

Terms

Arbitration

Not independently confirmed this pass — standard binding arbitration + class action waiver expected.

Data sharing

THE LARGEST DATA BREACH IN INTERNET HISTORY BY RECORD COUNT: Yahoo disclosed a series of breaches (2013-2016) that ultimately affected ALL 3 BILLION Yahoo accounts worldwide — exposing usernames, passwords, email addresses, phone numbers, dates of birth, and security questions/answers. Yahoo reportedly either failed to detect the 2013 breach for TWO YEARS or knew of it and intentionally delayed disclosure; it did not notify users of the 2013 breach until December 2016. An initial $50 million settlement was REJECTED by a federal judge as inadequate, leading to a revised $117.5 MILLION settlement covering account holders (including Yahoo Sports, Finance, Tumblr, and Flickr users) between Jan 2012 and Dec 2016 — offering 2 years of credit monitoring OR an alternative cash payment of $100 (which the settlement site says could be less, or more up to $358.80); a residual distribution to alternative-compensation claimants began June 4, 2026. SEPARATE 2025 CLASS ACTION (Caplan v. Yahoo, S.D.N.Y., consolidated into Baker v. Yahoo Inc., No. 1:25-cv-02797-DLC): alleges Yahoo's 'ConnectID' technology secretly tracks users across the internet by using their email addresses as a persistent identifier, functioning as a workaround specifically designed to defeat privacy protections meant to PREVENT this kind of cross-site tracking — a tracking allegation distinct from the historical breach. On Aug 26, 2026 the court granted Yahoo's motion to compel arbitration for the five plaintiffs with active accounts and stayed the case pending arbitration; the allegations have not been decided on the merits.

Fees and billing

Not itemized this pass.

Contacts

Privacy contact. Not recorded.

Legal notice. Not verified this pass. If publicly traded: SEC Form 10-K cover page gives the official corporate address; the Secretary of State business-entity search in the state of incorporation gives the registered agent, which must accept service. If private: the state registered agent is usually the only reliable route.

Mailing address. Not recorded.

No published channel
Paper trail: none. No published channel.

Evidence

ClaimKindSupportSources
1. Three billion Yahoo accounts were taken.factsupportednone recorded
2. The three billion was every Yahoo account in existence.factunknownnone recorded
3. The accounts were taken across breaches in 2013 and 2014.factsupportednone recorded
4. It is still the largest breach by record count in internet history.factsupportednone recorded
5. The SEC found Yahoo senior managers and attorneys were told about the 2014 breach.factunsupported1 (1 confirmed)
6. The SEC found the company failed to fully investigate.factunsupported1 (1 confirmed)
7. The breach was not disclosed to investors for more than two years.factunsupported1 (0 confirmed)
8. It surfaced only as Verizon's acquisition was closing.factcontradicted1 (0 confirmed)
9. Yahoo paid $35 million to the SEC for the disclosure failure.factsupportednone recorded
10. Yahoo paid $117.5 million to users.factsupportednone recorded
11. Yahoo paid $80 million to shareholders.factunsupported1 (1 confirmed)
12. $29 million was paid by former executives.factunsupported1 (0 confirmed)
13. The total was roughly $226.5 million.factunsupported1 (0 confirmed)
14. The users' share works out to about four cents per compromised account.factunsupported1 (0 confirmed)
15. Passwords had been hashed with MD5.factcontradictednone recorded
16. MD5 was already considered broken.factunknownnone recorded
17. The part that should land harder than the number is the concealment.characterizationn/anone recorded

3 of 17 claims have a confirmed source of their own.

Sources

SourceClaimTierStatusQuote
regulator · 2018-04-24
www.sec.gov/litigation/admin/2018/33-10485.pdf
Claim 5Unassignedconfirmed“members of Yahoo's senior management and legal teams received various internal reports”
Quote basis: not recorded.
regulator · 2018-04-24
www.sec.gov/litigation/admin/2018/33-10485.pdf
Claim 6Unassignedconfirmed“did not properly assess the scope, business impact, or legal implications of the breach”
Quote basis: not recorded.
regulator · 2018-04-24
www.sec.gov/litigation/admin/2018/33-10485.pdf
Claim 7Unassignedcorrected“did not disclose the data breach in its public filings for nearly two years”
Quote basis: not recorded.
regulator · 2018-04-24
www.sec.gov/litigation/admin/2018/33-10485.pdf
Claim 8Unassignedcorrected“affirmative representations denying the existence of any significant data breaches”
Quote basis: not recorded.
court · 2018-09-07
www.courtlistener.com/recap/gov.uscourts.cand.307179/gov.uscourts.cand.307179.119.0.pdf
Claim 11Unassignedconfirmed“The Settlement has created a fund of $80,000,000 in cash that has been funded into escrow”
Quote basis: not recorded.
court · 2019-01-28
www.courtlistener.com/recap/gov.uscourts.cand.307945/gov.uscourts.cand.307945.42.0.pdf
Claim 12Unassignedcorrected“executed a Stipulation of Settlement resolving all of the derivative actions for $29 million”
Quote basis: not recorded.
court · 2020-07-22
www.courtlistener.com/recap/gov.uscourts.cand.305941/gov.uscourts.cand.305941.497.0.pdf
Claim 13Unassignedcorrected“a Settlement Fund of $117.5 million where the Settlement Class size is approximately 194 million”
Quote basis: not recorded.
court · 2020-07-22
www.courtlistener.com/recap/gov.uscourts.cand.305941/gov.uscourts.cand.305941.497.0.pdf
Claim 14Unassignedcorrected“a Settlement Fund of $117.5 million where the Settlement Class size is approximately 194 million”
Quote basis: not recorded.

Source vault

Link status: Candidate - not yet fetched

DocumentLast fetchPDF
Privacy policy
yahoo.com/legal/privacy/
Not fetched yetNO (HTML only)
Terms of service
yahoo.com/legal/terms/utos/utos-173.html
Not fetched yetNO (HTML only)
Website
No URL recorded
Not fetched yet—
Primary source
https://en.wikipedia.org/wiki/Yahoo_data_breaches
Verification: Verified - primary source confirmed
Not fetched yet—

Enforcement

No enforcement actions are linked to this row.

State statute

No HQ state on file, so no state statute applies by headquarters.