Banks Ask 5th Circ. To Revive Heartland Data Breach Claims

By Megan Stride (February 11, 2013, 6:42 PM EST) -- A group of banks on Friday asked the Fifth Circuit to revive their negligence claims against Heartland Payment Systems Inc. in multidistrict litigation over a 2008 data breach, saying Heartland's claim that it shared a contractual relationship with the banks shouldn't defeat their appeal.

In their reply brief, nine credit-card-issuing banks. including Amalgamated Bank and Lone Star National Bank NA, argue that a New Jersey economic loss rule doesn't bar their negligence claim against Heartland because it only bars claims for foreseeable economic losses when the parties are in a contractual relationship.

The payment card processor argued in its own Jan....

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