Vedder Thinking | News Bruce Radke and Michael Waters Comment on Target’s Proposed $19M Settlement with MasterCard
April 21, 2015
Bruce A. Radke, Vedder Price Shareholder and Chair of the Data Privacy and Information practice group, and Michael J. Waters, Shareholder in the Litigation practice group, were quoted in the April 16 Law360 article titled "Target, MasterCard Pact to Clear High Buy-In Hurdle." The article delves into the $19 million deal that Target announced last week to resolve data breach claims brought by issuers of MasterCard-branded payment cards. However, the deal is contingent on 90 percent of the issuers accepting the offer.
Mr. Waters referred to the settlement arising out of the 2007 data breach reached between TJX Companies and MasterCard and stated that, "While the statement put out Thursday by the NAFCU raises questions about whether banks will accept this offer, based on the precedent established by TJX, my guess is that at the end of the day they will accept."
Noting that Target had been involved in simultaneous settlement discussions with Visa and other credit card companies affected by the Target data breach, Mr. Radke commented, "The settlement with MasterCard at least establishes a yardstick for continued settlement negotiations and, in conjunction with what happened in the TJX matter, supports hitting that standard in future settlements as well."
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