Heartland Payment Systems, Inc. – Data Breach Class Action Settlement

Berger Montague served on the Plaintiffs’ Steering Committee in this multi-district litigation and obtained a class action settlement in this data breach class action.

Heartland Payment Systems, Inc. (“Heartland”) processed credit and debit card transactions for more than 150,000 merchants nationwide. The lawsuit challenged Heartland’s protection of consumer credit and debit card information processed through its servers, which were attacked by computer hackers. The plaintiffs alleged that Heartland’s inadequate data security allowed the hackers to access and steal card information in order to commit fraud and identity theft. The plaintiffs alleged that the hackers accessed 130 million credit and debit cards in what was reportedly the largest theft of credit card information in U.S. history at the time.

Because of Heartland’s inadequate data security, cardholders had their card information compromised, were exposed to the risk of fraud, spent time monitoring their accounts and disputing fraudulent charges, and suffered other economic damages. Under the class action settlement, class members were entitled to reimbursement of out-of-pocket losses for: (1) third-party charges resulting from card cancellations or card replacements; (2) unauthorized and unreimbursed fraud charges on credit and debit cards; (3) identity theft-related charges; (4) telephone or postage costs; or (5) time spent to address any of these matters. Class members could receive up to $10,000 for identity theft charges and $175 for all other items. A fund of $2.4 million was made available for those reimbursements. As part of the settlement, Heartland also agreed to make certain improvements to its data security systems.

If you have been the victim of a data breach or privacy breach, consumer fraud, or unfair or deceptive business practices, please contact Berger Montague.

About Berger Montague

Berger Montague is a national law firm focusing on complex civil litigation in federal and state courts throughout the United States. For over half a century, Berger Montague has played lead roles in consequential, precedent-setting cases and has recovered over $50 billion for its clients and the classes they have represented. Berger Montague is headquartered in Philadelphia and has offices in Chicago, Minneapolis, San Diego, San Francisco, Toronto, and Washington, D.C.