Circuit Court Revives Heartland Payments Negligence Claim

The 5th U.S. Circuit Court of Appeals has revived a cybersecurity negligence claim against New Jersey-based payment processor Heartland Payment Systems, a September 4 report from Main Justice revealed. The charges stem from a 2008 data breach.

A three-judge panel ruled that seven credit card issuers could sue Heartland in a tort-based negligence claim under New Jersey law. The court found that the claim can stand “because a plaintiff in the case is easily identifiable and liability would not be boundless,” the media outlet said.

The credit card issuers have argued that Heartland lacked the necessary security to prevent the breach. For more on the developing story, click here