Thursday, July 16, 2009

Cyber Security Settlement: $9.75 million Settlement for Alleged Data Breach


Speechly Bircham LLP reports on The Association of Corporate Counsel's webpage that TJX, the parent company of TK Maxx, has paid settlement monies of $9.75m to 41 US states following a data breach disclosed in January 2007 which reportedly exposed at least 45.7 million credit and debit cardholders to possible fraud in the computer systems. The breach began in July 2005.
TJX stress, however, that they did not breach any consumer or data security laws and that this pay-out is not an admission of liability. Instead, TJX have stated that "the decision to enter into this settlement reflects TJX's desire to concentrate on its core business without distraction and to promote cyber security measures that will benefit all consumers".
The settlement monies will create a data security fund for states and cover expenses incurred in relation to the states' investigations. TJX agreed to increase their security measures to prevent anything like this happening again...


Not that anything happened... LOL

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