Magistrate Recommends Dismissal with Prejudice of Claims Against Global Payments

Craig Hoffman writes:

Global Payments, which processes credit card transactions, announced on March 30, 2012 that an unauthorized person gained access to a portion of its processing system.  Global Payments later disclosed that Track 2 data (card number, expiration date, verification code but not cardholder name or address) of 1.5 million cardholders were taken.  Three individuals brought a putative class action alleging that fraudulent charges were made to the credit card they used at merchants who used Global Payments to process their transactions.  The plaintiffs asserted claims of: (1) negligence; (2) violations of the Stored Communications Act (SCA); (3) violations of the Fair Credit Reporting Act (FCRA); (3) violations of the Georgia Uniform Deceptive Trade Practices Act; and (4) implied contract and third party beneficiary breach of contract claims.  Global Payments moved to dismiss all claims on the grounds that the plaintiffs failed to allege sufficient facts to establish Article III standing or all of the necessary elements of their seven claims.  United States Magistrate Judge Janet King issued a recommended decision on February 5, 2013.

Read more on Data Privacy Monitor.  Article III bites plaintiffs again.

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