8th Circ. Affirms Max Liability Ruling In Grocer's Breach Battle

Law360, New York (January 13, 2017, 4:10 PM EST) -- The Eighth Circuit on Friday saved Schnuck Markets from a potential million-dollar bill related to a 2013 data breach that compromised customer cardholder data, letting stand a lower court's ruling that the supermarket chain's liability is capped at $500,000.

Payment processors Citicorp Payment Services Inc. and First Data Merchant Service Corp. looked to the appeals court in March for a reversal of that decision, saying the district court was wrong in ordering them to return more than $1 million earmarked for financial institutions' losses from the data breach. They claimed Schnucks was obligated to cover up to $3 million under their contract....

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