Target's Data Breach Settlement Could Pay Victims Up to $10,000 Each

Illustration for article titled Targets Data Breach Settlement Could Pay Victims Up to $10,000 Each

Back in 2013, Target suffered an incredibly embarrassing data breach where 40 million customer credit cards were compromised. Now, following lengthy discussions with the lawyers of those affected by the hack, the retailer has agreed to pay up a $10 million settlement.

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CBS News reports that the sum could see individuals affected by the data breach receive up to $10,000 in damages. The settlement was decided on March 9th, but it was only submitted to a federal judge for approval yesterday. While it's yet to be formally signed off, the settlement documentation is thorough—enough to include a draft of the form that victims will fill in to make a claim, as KSTP points out.

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If all goes to plan, a digital version of that form will appear on a dedicated website, where those affected by the breach will be asked to provide "reasonable documentation showing their losses more likely than not arose from the Target data breach (for example, a credit card statement, invoice or receipt)..." That will include up to two hours of "lost time" billed at $10 per hour for each type of loss.

As many as 40 million Target customer credit cards were compromised 2013, while up to 110 million sets of personal information such as email addresses and phone numbers were stolen. Its expected that the number making claims will be much smaller, not least because those numbers include many duplicates. [CBS News, KSTP via Engadget]

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DISCUSSION

The problem that I have with this is, how do I document the inconvenience factor? Someone tried to zap my debit card for roughly $600 in purchases, but my bank caught it and the funds were never approved. My initial monetary loss was zero.

However...

My card was cancelled and it took my bank two months to issue a new card because THEY were so slammed with card cancellations and got backlogged by their card supplier (who put priority on the larger banks over the smaller credit unions).

That's when you realize just how few places these days still accept checks (or how clueless some checkout people are about handling checks at the places that do). You also learn how many automatic payment systems and online merchants make the mistake of only allowing you to tie the payment to a card number instead of a bank account, thus making it a pain in the ass to pay your bills or buy things online.

"Up to 2 hours of time" doesn't even BEGIN to compensate the two months of hell this caused me.