February 7, 2022

California federal judge grants final approval of class action data breach settlement

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, [24]7.AI, Inc. Defendant is a third-party vendor that provides “sales and service-related software” to companies.  In the fall of 2017, [24]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 [24]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, [24]/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. 

Order granting final approval of settlement | Second Consolidated Amended Class Action Complaint