Pa. credit union sues Target over data breach

Published on NewsOK Modified: February 3, 2014 at 12:57 pm •  Published: February 3, 2014

PITTSBURGH (AP) — A western Pennsylvania credit union is suing Target Corp. for the cost of reissuing debit cards to about 75 customers whose account information was compromised by computer hackers who stole 40 million credit and debit card numbers from the retailer's customers.

The federal lawsuit filed Friday by the First Choice Federal Credit Union in New Castle seeks class action status, claiming there will be far in excess of the 100 victims and $5 million in damages needed to justify a class action under federal law once other financial institutions come forward. The Pennsylvania credit union is located about 45 miles northwest of Pittsburgh.

The lawsuit doesn't say how much the credit union has spent to reissue its customer cards and take related precautions, and the law firms that filed the suit didn't specify in a statement released Monday.

"The complaint alleges that Target knew or should have known that its payment processes were vulnerable to this sort of attack, yet the company failed to take adequate measures to protect sensitive data and did not inform customers or financial institutions about the ongoing attack for several weeks after it was discovered," according to the statement from the three firms, Carson Lynch, Del Sole Cavanaugh Stroyd, and Berger & Montague.

A Target spokeswoman repeated the Minneapolis-based chain's assurances that customers aren't liable for any fraudulent purchases

"They need to continue to watch their accounts and promptly report any fraud to their issuing bank," spokeswoman Molly Snyder said. "I can't speak to the reimbursement process as that is between Target and the banks."

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