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When can organisations rely on “consent” under data protection laws? The Court of Appeal clarifies in RTM v Sky Betting and Gaming
Caroline Sheldon
In tech, the law often arrives after something has gone wrong. Here are three cautionary tales* and the lessons every founder, CTO and in-house counsel should take away.
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The Fintech that missed the AML red flags
A fast-growing UK fintech relied too heavily on automation for onboarding and skipped enhanced due diligence on high-risk customers.
The FCA found fake IDs and money flows linked to laundering networks. Result? £1m+ fine and a PR nightmare.
Lessons:
- AML isn’t a one-time check - it’s ongoing.
- Automation needs human oversight.
- Train teams to spot anomalies software may miss.
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The SaaS provider that survived a data breach
A public-sector SaaS provider was hacked via an outdated plugin, exposing thousands of user records.
They survived because they had a breach plan, responded fast, and cooperated openly with the ICO.
Lessons:
- Preparation beats panic: simulate breaches, update systems.
- 72-hour ICO reporting rule is non-negotiable.
- Transparent communications reduce reputational harm.
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The software IP dispute that went to the high court
A startup and a freelance developer clashed over platform ownership. No written IP assignment = developer legally owned the code.
The business had to buy a licence for its own product.
Lessons:
- Get IP assignments in writing before work starts.
- Cover future modifications & derivatives.
Final word
These stories share a theme: it’s not just about knowing the law - it’s about not making dangerous assumptions.
If these scenarios feel uncomfortably familiar, now’s the time for a compliance health check… before your business becomes a case study. If you would like to arrange a complementary consultation, please get in touch.
At Kingsley Napley, we help tech companies navigate the legal risks that matter most. When it matters most, make sure you’re prepared.
*The examples given in this blog are fictitious but composed from broad patterns in real cases.
About the author
Christopher Perrin is a highly experienced solicitor who leads the Corporate, Commercial and Finance team’s general Commercial & Technology Contracts, Outsourcing & Data legal advisory services.
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