[ISN] Two New Suits Filed in Heartland Data Breach

http://www.bankinfosecurity.com/articles.php?art_id=1213

By Linda McGlasson
Managing Editor
Bank Infosecurity
February 16, 2009

Two Philadelphia law firms have filed class action suits on behalf of 
all cardholders in the U.S. who had their credit or debit card data 
stolen in the Heartland Payment System (HPY) data breach. This brings to 
three the total number of class action lawsuits filed against the 
Princeton, NJ-based payments processor.

The law firm of Berger & Montague filed a class action suit in the U.S. 
District Court for the District of New Jersey, alleging Heartland's 
failure to safeguard cardholder data when the company's computer systems 
were hacked and cardholder data was stolen. Heartland says last year it 
processed 100 million card transactions per month, but an unknown number 
of cards were impacted by the breach. The law firm says fraudulent 
activity has occurred on some of those cards.

The law firm alleges that Heartland's security measures and intrusion 
detection systems were inadequate. "Because of Heartland's inadequate 
data security, cardholders have had their card information compromised, 
have been exposed to the risk of fraud, have spent and will spend time 
to monitor their accounts and dispute fraudulent charges, and have 
suffered other economic damages," the law firm says in its statement 
regarding the suit.

Berger & Montague were also co-lead counsel in the consumer class action 
suit brought against TJX Companies, which resulted in a $200 million 
settlement.

[...]


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