finsmart-news_admin 
A US bank has agreed to pay up to $10,000 to customers affected by an alleged data breach that exposed personally identifying information.
According to a settlement administrator’s portal, The Bank of Canton will pay $300,000 to settle a lawsuit accusing the Canton, Massachusetts-based lender of negligent data security practices.
Class members in the lawsuit, defined as the existing, former and prospective clients of The Bank of Canton in the US impacted by the cybersecurity incident, will receive up to $2,500 for ordinary losses and up to $10,000 for extraordinary losses.
Claimants must provide documentation to prove the losses they suffered as a result of the data breach. Class members who choose not to file documentary evidence can opt for an alternative cash payment of $100.
Claims must be submitted by October 9th, with a final approval hearing for the settlement scheduled to be held in a Massachusetts court on October 21st. Payments will be made once the settlement is approved by a judge.
The Bank of Canton is settling the lawsuit a little over a year after the incident occurred. On or around May 27th of 2023, cybercriminals allegedly gained access to MOVEit Transfer, a file transfer software system used by a third-party service provider of the bank.
The lawsuit alleged the incident led to the sensitive data of the Bank of Canton’s customers, potentially including, account name, account number(s), and Social Security numbers being exposed. The lawsuit was subsequently filed in November of 2023.
Despite agreeing to settle, The Bank of Canton denies the allegations made in the lawsuit.
