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Security Breach Lawsuit


Check 'N Go to pay $220,000 settlement in personal information lawsuit.


Security Breach

Dallas, TX: (May-09-08) Texas Attorney General Greg Abbott brought charges against Check 'n Go, alleging that the business disposed of sensitive customer information in publicly accessible dumpsters. The federal office stated that the records disposed by the company included financial records and bank statements that contained names, addresses, Social Security and driver's license numbers, and checking account information.

The security breach lawsuit was resolved after the two sides entered into a settlement agreement, where, Check 'n Go agreed to pay $220,000 and overhaul its information security program. Court papers indicated that the breach took place at several locations. The AG's office stated that there have been several reported instances of similar problems, where disposal of sensitive records have exposed customers to identity theft risks.

Abbott said that the cash settlement will be used for the investigation and prosecution of future identity theft cases, pursuant to the Identity Theft Enforcement and Protection Act. Apart from the monetary payout, the company also agreed to implement a new training program to inform its TX employees about the company's enhanced information security procedures. [RTO ONLINE: CHECK 'N GO PAYS $220,000 SETTLEMENT AFTER CUSTOMER RECORDS FOUND IN DUMPSTER]


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