I. Introduction

It should come as no surprise that hackers and cyber criminals are targeting settlements or that technology is providing new and sophisticated ways to misdirect a settlement payment to a hacker.¹ When this occurs, a court may be asked to resolve who should bear the risk of loss between two seemingly innocent parties. Should the answer be which party was in the best position to prevent the misappropriation of funds? That appears to be the approach taken by one federal district court in Bile v. RREMC, LLC.²