By Steve Ragan Sep 25, 2007, 16:55 GMT
TJX, pending court approval, has said they will begin settling most of the class action lawsuits that were filed after a breach of company security. Over the course of the year, it has been revealed that due to faulty Wi-Fi security at one store, TJX lost around forty-five million credit and debit card numbers as well as personal information related to their customers.
TJX Corp. Headquarters. 07/09/25 TJX has said they will start paying settlements for many of the class action suits filed in the wake of the largest data theft in history. (Source TJX website)
The settlement agreement, outlined by TJX, includes several provisions. “Customers who returned merchandise without a receipt to our stores and to whom TJX sent letters reporting that their drivers’ license or other identification information may have been compromised in the intrusion(s), will be offered three years of credit monitoring along with identity theft insurance coverage paid for by TJX,” the settlement reads.
“We deeply regret any inconvenience our customers may have experienced as a result of the criminal attack on our computer system. Importantly, we truly appreciate our customers’ continued patronage. TJX has been working diligently to reach a settlement that offers a good resolution for our customers. This Settlement Agreement addresses the different ways customers have told us they have been impacted by the intrusion(s),” said Carol Meyrowitz, President and Chief Executive Officer of The TJX Companies
TJX said they would reimburse customers for the documented cost of drivers’ license replacements and, if their drivers’ license or other ID numbers were the same as their social security number, for certain losses from identity theft. There are also planned store vouchers and other promotional sales that will be open to public in each of their stores worldwide.
Estimated costs to TJX related to this settlement were reflected as part of the $107 million (after tax) reserve for estimated potential losses from the intrusion(s) recorded in the Company’s fiscal 2008 second quarter and previously reported estimated future non-cash charges of $21 million (after tax) anticipated to be taken in fiscal 2009.
TJX has established a helpline in the U.S. (866) 484-6978 and Canada (866) 903-1408 and is providing information on its website, www.tjx.com, to respond to customer questions regarding the Settlement Agreement.
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