Phyllis Sumner of King & Spalding drew attention through negotiating settlements of 25 putative consumer class actions against Home Depot from one of the most prominent data breaches in history. The case was consolidated in federal court in Atlanta, with 85 named plaintiffs alleging that over 56 million payment cards and 53 million e-mail addresses were compromised and asserting over 200 claims under the laws of 50 states and three territories. The result was a balance of monetary and injunctive relief in what some said is a model for future consumer data breach settlements.
Sumner also negotiated settlement of financial institution class actions against Sears/Kmart consolidated in the Northern District of Illinois following a 2014 data breach. The result was a $5.2 million settlement fund for eligible class members, payment of the final Visa and MasterCard assessments, and an agreement for Kmart to maintain certain security measures. The settlement focused on the interplay between the amounts financial institutions may recover within the card brand assessment structure and damages claimed by class members.
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