According to a report published today in The Wall Street Journal, Target and MasterCard are close to reaching a settlement of the claims of MasterCard-issuing institutions in connection with Target's 2013 data breach. The settlement would reimburse the cost of reissuing debit and credit cards compromised by the breach, as well as a portion of the resulting fraudulent charges made using stolen payment card numbers. A $20 million settlement would be comparable to the amount paid by TJX Cos. to MasterCard in connection with the 2008 TJX data breach. News of a potential card issuer settlement comes less than one month after Target and class counsel filed papers seeking court approval of a proposed class settlement of consumer claims arising from that same data breach. Sources informed the Wall Street Journal that a definitive MasterCard settlement could be announced as soon as this week.
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