FRAMINGHAM, Mass. – TJX Cos. announced today it has agreed to pay Visa as much as $41 million which will be used to reimburse credit unions and banks for one of the biggest data breaches ever.
The money will be used to repay credit unions and banks for the costs associated with notifying card holders cancelling and reissuing millions of cards affected by the massive breach.
Under the agreement, issuers of at least 80% of eligible cards must accept the offer by Dec. 19 for the settlement to take effect, said TJX the parent of TJX Maxx, Marshalls and several other retail chains.
Separately, a federal judge in Boston ruled today that credit unions and banks cannot pursue damages against TJX and Fifth Third Bancorp, it merchant processor, as a single class, meaning the institutions will have to seek to recover costs associated with the breach separately.
