Feeds

TJX settles with banks over credit card breach

Now it only has to worry about disgruntled punters

Beginner's guide to SSL certificates

Retailer TJX has reached a settlement with all but one of the seven banks and bankers' associations that sued it after a security breach put millions of customers' credit data at risk of fraud.

Under the agreement the Massachusetts Bankers' Association, Connecticut Bankers' Association and Maine Association of Community Banks, along with Eagle Bank, Saugusbank, and Collinsville Savings Society, will dismiss all of their claims against TJX. In return they will receive a "negotiated portion" of the expenses they incurred in the case, excluding attorney fees, on a no-fault basis. TJX said the pay-out will be covered by reserves it set aside in its second quarter.

In addition, three bankers' associations that were party to the case against TJX agreed to drop their legal action and recommend that their 292 member banks agree to accept TJX's November offer to pay out up to $40.9m. Part of the settlement involves a promise by TJX to strengthen its security to achieve full compliance with the Payment Card Industry Data Security Standards, a benchmark it has already passed.

The set of agreements follows a recent court ruling denying class action status for the case. That ruling is subject to a pending motion for reconsideration and a possible appeal by the non-settling plaintiff bank, which hasn't been named.

TJX faces consumer and bank class action lawsuits over the exposure of as many as 100m customer records (TJX has held its hands up to the loss of 45.7m, but other estimates are double that) as the result of a security breach that lasted for two distinct six-month periods between 2003 and December 2006. Hackers broke into a system that stored data on credit card, debit card, cheque, and return details in an attack blamed on a poorly secured wireless network in one of its stores. Subsequent credit card frauds have been traced to data swiped as a result of these breaches, and a number of arrests have been made. ®

Remote control for virtualized desktops

More from The Register

next story
You really need to do some tech support for Aunty Agnes
Free anti-virus software, expires, stops updating and p0wns the world
Regin: The super-spyware the security industry has been silent about
NSA fingered as likely source of complex malware family
You stupid BRICK! PCs running Avast AV can't handle Windows fixes
Fix issued, fingers pointed, forums in flames
Privacy bods offer GOV SPY VICTIMS a FREE SPYWARE SNIFFER
Looks for gov malware that evades most antivirus
Patch NOW! Microsoft slings emergency bug fix at Windows admins
Vulnerability promotes lusers to domain overlords ... oops
HACKERS can DELETE SURVEILLANCE DVRS remotely – report
Hikvision devices wide open to hacking, claim securobods
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Go beyond APM with real-time IT operations analytics
How IT operations teams can harness the wealth of wire data already flowing through their environment for real-time operational intelligence.
Why CIOs should rethink endpoint data protection in the age of mobility
Assessing trends in data protection, specifically with respect to mobile devices, BYOD, and remote employees.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.