TJ Maxx Settles Class Action Lawsuits

TJ Maxx has announced that it has settled class action lawsuits stemming from the notorious data breach that affected 45 million credit and debit cards. The exact numbers are not known, but the AP has a few details:

The announcement did not specify the settlement cost, but noted that its estimated costs were included in a $107 million reserve included in its second-quarter report for fiscal 2008 and its estimate of $21 million in costs expected in fiscal 2009. The $107 million figure includes costs from other lawsuits not included in the customer class actions, the Framingham-based company said.

The settlement also includes Cincinnati-based Fifth Third Bancorp, which processed some payment card transactions for TJX and was named in some of the customer lawsuits.

TJX said it denied the allegations in the customer lawsuits. It concluded that more legal action would be time-consuming and expensive.

“We deeply regret any inconvenience our customers may have experienced as a result of the criminal attack on our computer system,” TJX President and CEO Carol Meyrowitz said in a statement.

TJX says it will host a three-day customer appreciation event sometime next year in which prices will be reduced by 15%. Vouchers will be issued to customers who incurred costs in connection with the breach. TJ Maxx also promised to improve their security, though it seems like just having security at all would be an improvement.

TJX Settles Customer Class Action Suits [AP]
(Photo:Scorchamac)

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  1. bohemian says:

    15% off and a voucher ONLY if you were out money. Never mind I got my debit card canceled over this. My bank canceled my card and I didn’t know it until I drove to town and tried to do all of our shopping for two weeks and had my card denied. Rather embarrassing since I did have money in my account not to mention having to drive home, rifle through mail and call the bank to figure this out. Oh and I had at least three autopay setups tank because my card got canceled and I didn’t know it. I wasted a good 4 hours total dealing with their mess.

  2. amoeba says:

    I also had canceled my card because of this problem, but I actually knew and waited :-) Anyway, I think 15% off is a joke, and TJX doesn’t care about its customers. After all the TJMAXX collapse I haven’t stepped there and I won’t. They lost MILLIONS of CC and DC plus personal INFO from checks, and they make it look like nothing giving away vouchers… That’s why I do all my shopping at Macy’s and Dillard’s.

  3. twoback says:

    That picture is priceless.

  4. CoffeeAddict says:

    The picture is perfect for this post. I am amazed that they think 15% is a resonable apology for the travesty that went down in their stores with people’s credit cards. I wouldn’t shop there even if they gave away stuff for free. They obviously do not value their customers very much.

  5. Walkallovaya says:

    Class-action: The lawyers get rich, while the “plaintiffs” get nothing, and the “defendant” is hardly bothered. What a joke.

  6. gomer2 says:

    I had my credit card canceled and replaced because of this and I’ve never shopped at TJ Maxx. I called the credit card company to ask who authorized the cancellation of my card and they said that it was canceled and replaced, along with over 1,000 of their customers’ cards, due to database theft from TJ Maxx/Marshalls. When I mentioned that I’d never made purchases from any of those merchants, they said the database was shared with another merchant, which is why my card got replaced.

  7. Bobg says:

    This payout reminds me of the class-action suit with my laptop. The lawyers got rich and I got a $25 coupon off of my next shitty laptop.

  8. Blueskylaw says:

    @Walkallovaya:
    AMEN