ParkMobile, the popular mobile and web parking platform, recently finalized a class-action lawsuit stemming from its 2021 data breach. The company is now compensating affected users, but the payout is proving to be a bit of a letdown. Instead of cash, victims are being offered a mere $1 credit for the app, which is doled out in $0.25 increments that can be used up to four times. The catch? The credit expires and must be manually claimed, adding a layer of inconvenience to what many consider a paltry sum for a serious data breach.
This settlement follows a lawsuit accusing ParkMobile of failing to protect the personal information of nearly 22 million customers. In 2021, a trove of user data was stolen and then leaked on a hacking forum. The massive 4.5 GB file, released as a CSV text file, exposed a wide range of sensitive details, including users’ names, phone numbers, email addresses, mailing addresses, license plate numbers, and even bcrypt-hashed passwords and vehicle information. This comprehensive data dump made the breach a significant security event for millions of people.
The years-long legal battle in the U.S. District Court for the Northern District of Georgia concluded with a $32.8 million settlement. As is common in these types of agreements, ParkMobile denied any wrongdoing. The affected users who submitted a formal claim form to the law firms representing the plaintiffs by the March 5, 2025 deadline were part of one group of claimants. However, those who did not submit a claim form are the ones now receiving the $1 app credit via email.
The emails, which began arriving last week, have left many users understandably skeptical. The offer of a small, conditional credit for such a serious incident—which exposed so much personal data—has raised questions about its legitimacy. According to the email, the code provides a $0.25 discount on ParkMobile’s service fees and can be used up to four times to reach the grand total of $1.00.
While the settlement does provide some form of compensation, the $1 in-app credit has been met with frustration. For users who had their personal and financial data exposed, a minimal, conditional credit seems like a minimal effort. This conclusion to the lawsuit highlights the challenges and often underwhelming outcomes of data breach settlements for the millions of affected individuals.
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