Dive Brief:
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U.S. District Judge Paul Magnuson Tuesday said that plaintiffs in a lawsuit against Target presented a plausible case of negligence in failing to provide adequate security against data theft, and allowed the lawsuit to go forward.
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The federal judge dismissed one of the four claims brought by banks that said last year’s breach was in violation of Minnesota’s Plastic Security Card Act.
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The courts have merged a plethora of lawsuits into two cases, one by banks and one by consumers.
Dive Insight:
Target’s 2013 data breach nightmare isn’t over. The retailer argued in federal court that it didn’t have an obligation to the banks because a third party handles its payments. But the district court judge, Paul Magnuson, didn’t buy that, although he did dismiss one claim that the retailer demonstrated “negligent misrepresentation by omission.”
There’s no final ruling here, just that the cases will proceed.