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White Hat Hackers and Unpaid Bounties: What Are Your Legal Rights?

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Advocating for Ethical Hackers: How We Can Help White Hat Hackers Get Paid What They’re Owed

In the digital age, ethical hackers—also known as “white hats”—play a crucial role in safeguarding critical systems by identifying and reporting security vulnerabilities. Many companies recognize this by offering “bug bounty” programs, promising financial rewards to those who responsibly disclose flaws. Unfortunately, not every hacker gets paid.

At Simon Law Group LLC, we help ethical hackers assert their rights and secure compensation—whether a company failed to honor a bug bounty agreement or never had one in the first place.

The Challenge: No Contract, No Pay?

Many bug bounty programs are informal or vaguely worded, offering rewards “at the discretion” of the company. And in some cases, a company may not have a program at all—but a hacker still responsibly discloses a serious vulnerability. Despite acting in good faith, the hacker is met with indifference or hostility. This is one of the hardest—and most frustrating—situations our clients face.

That’s where we step in.

We often represent ethical hackers who come to us before they disclose a vulnerability, seeking help to negotiate fair terms upfront or structure a legal agreement that ensures compensation upon disclosure. These pre-disclosure negotiations can be sensitive and high-stakes, especially when the target company has no formal bug bounty program in place.

How We Help Ethical Hackers Get Paid

Our legal strategies include:

  • Negotiating pre-disclosure agreements to secure payment terms and limit liability before sharing the vulnerability;
  • Asserting contractual and quasi-contractual claims when companies benefit from the vulnerability disclosure but refuse to compensate;
  • Leveraging reputational pressure on companies—especially those that claim to support security research but fail to honor it;
  • Navigating jurisdictional complexity, particularly when hackers and companies are based in different countries;
  • Advising on safe communication and legal exposure, especially under laws like the Computer Fraud and Abuse Act (CFAA).

White Hat, Black Letter Law

Companies depend on ethical hackers to secure their digital infrastructure—but when it comes to payment, many hide behind legal technicalities. We help remind them that ethical hacking, especially when done under a good-faith disclosure, is skilled labor that adds value. And value deserves fair compensation.

A Win for the Cybersecurity Community

Whether we’re sending demand letters, initiating quiet settlement discussions, or preparing for litigation, our firm stands behind the principle that good-faith security research should never go unpaid.

We’ve helped white hats recover compensation across industries—tech, finance, healthcare, and beyond—building accountability into the bug bounty world, even when no formal rules exist.

If you’re an ethical hacker looking to protect yourself before disclosing a vulnerability—or struggling to get paid after one—contact Simon Law Group LLC. We know the stakes, we understand the risks, and we’re here to help you get the respect (and the payment) you’ve earned.

Call today for assistance 800-709-1131 or send a text below.