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Home Depot Reaches Agreement Over 2014 Data Breach

Wednesday, March 9th, 2016 -- 10:23 AM

(Reuters) -Home Depot Inc agreed to pay at least $19.5 million to compensate U.S. consumers harmed by a 2014 data breach affecting more than 50 million cardholders.

The home improvement retailer will set up a $13 million fund to reimburse shoppers for out-of-pocket losses, and spend at least $6.5 million to fund 1-1/2 years of cardholder identity protection services.

Home Depot also agreed to improve data security over a two-year period, and hire a chief information security officer to oversee its progress. It will separately pay legal fees and related costs for affected consumers. Terms of the preliminary settlement were disclosed in papers filed on Monday with the federal court in Atlanta, where Home Depot is based.

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