On January 28, 2022, Judge Beth Labson Freeman of the US District Court for the Northern District of California granted final approval of a class-action settlement entered between customers of Best Buy, Sears Holdings, and Delta Airlines and defendant, 7.AI, Inc. Defendant is a third-party vendor that provides “sales and service-related software” to companies. In the fall of 2017, 7’s software was connected with a data breach that allegedly resulted in the compromise and theft of customers’ personally identifiable information (PII) and payment card data (PCD). Plaintiffs sued 7 for “its failure to secure and safeguard customers’ [data]” and its failure to disclose the data breach until 6 months after the breach occurred.
Under the terms of the settlement, /7 agreed to pay up to $2,000 to any class member able to submit documentation showing that they incurred certain out-of-pocket expenses as a result of the data breach. The court also approved class counsel’s request for attorney’s fees and costs in an amount not to exceed $450,000.