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(update) Michaels Stores Still PINned beneath Payment Card Skimming Lawsuit

Posted on December 16, 2011 by Dissent

Ah, I missed a ruling.  Thankfully, Brendon Tavelli didn’t. He writes:

In May 2011, Michaels Stores reported that “skimmers” using modified PIN pad devices in eighty Michaels stores across twenty states had gained unauthorized access to customers’ debit and credit card information. Not a pretty picture for Michaels. Lawsuits soon splattered on the specialty arts and crafts retailer, alleging a gallery of claims under the Stored Communications Act (“SCA”), the Illinois Consumer Fraud and Deceptive Business Practices Act (“ICFA”), and for negligence, negligence per se, and breach of implied contract.

Late last month, U.S. District Court Judge Charles Kocoras ruled on Michaels’s motion to dismiss. Some claims were dismissed, but others survived. The opinion presents a broad-brush survey of potential data security breach claims, with some fine detail and local color particular to this variety of criminal data security breach.

Read more on Proskauer Privacy Law Blog.

Related posts:

  • Michaels Stores (finally) confirms breach affecting 2.6M cards at Michaels, 400K at Aaron Brothers
  • Operation Anti Security Breakdown and targets, the full time line
  • (update) Michaels Stores finds tampered PIN pads in 20 states
  • Michaels Stores: two months later, no update?
Category: Breach IncidentsBusiness SectorSkimmersU.S.

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