Guardian Analytics Inc. and Webster Bank N.A. have settled a data breach lawsuit for over $1.4 million, stemming from a 2022 incident compromising 192,000 individuals’ data. The settlement, recently approved in federal court, addresses allegations of insufficient protection of sensitive customer information. Plaintiffs claimed both companies failed to implement adequate security measures, leaving personal details vulnerable to theft.
During the breach, unauthorized access to Guardian Analytics’ network systems between November 27, 2022, and January 26, 2023, led to the exposure of plaintiffs’ personally identifiable information (PII). Allegations against the defendants, Guardian Analytics and Webster Bank, centered on their purported failure to maintain robust security measures, resulting in significant risks of identity theft and financial losses for affected individuals.
The settlement agreement offers reimbursement for monetary losses incurred by affected individuals, covering direct financial losses up to $5,000 and ordinary losses up to $250. Additionally, compensation is provided for the time spent by plaintiffs in addressing the breach aftermath, reflecting a commitment to address the damages suffered by the class action plaintiffs. Individual plaintiffs representing the class action lawsuit underscored the range of damages experienced, emphasizing financial losses and the extensive time spent rectifying the breach’s consequences.
This settlement underscores the critical importance of robust data security practices in safeguarding sensitive customer information. Both Guardian Analytics and Webster Bank have affirmed their dedication to enhancing security protocols to prevent similar incidents in the future, highlighting the ongoing battle against cyber threats in an increasingly digital landscape.
