Credit Card Breach Puts Target in Legal Crosshairs

Your next video will start in

Recommended Videos

  • Info

  • Comments


Dec. 26 (Bloomberg) -- Bloomberg Joshua Brusten reports on the aftermath of the credit card breach at Target, consumer lawsuits, and why it may be difficult to prove the company’s negligence. He speaks on Bloomberg Television's “In The Loop.” (Source: Bloomberg)

The customers to prove the target was negligent?

There are a couple of things.

It will be difficult to prove the damages.

That is a problem with credit card breaches.

Your number is stolen and is scary.

The credit card networks usually pick up fraudulent charges.

The merchants who lost the data usually offer credit monitoring.

It has become a question of, how did i suffer from this?

That is tricky to prove.

Why is that?

Look at these erroneous charges.

Look at this.

They are damages.

Why is that difficult?

If you are not being forced to pay, you have not suffered.

I assume you also do not know what the future could hold.

You do not know where the data has gone.

It could come back to hawaii.

If you do get your identity stolen, and there are damages, if i am the merchant, i will say have you know it was my breach?

What have the people who are looking at filing lawsuits -- there are 11 right now.

I assume there will be more.

What are they seeking?

They are seeking some kind of compensation for damages done by the breach.

This is still the early stages.

Targets response has been credit monitoring.

It cards or discounts.

What else?

Will have to wait and see.

Obviously, as the phone.

Are there any similar cases that can be looked upon as a precedent here?

This has happened several times as i mentioned before.

It is hard to prove that you are suffering damages from these breaches.

That is always a concern.

The federal regular first -- regulators have gotten involved.

They have been forced to pay settlements in the past.

Merchants are starting to say that they are not -- they do not think that the regulations are in place to start doing this.

They're questioning the enforcement capabilities.

They saying that there still needs to be some work on who is responsible.

That raises another question.

Another problem is, how are regulators going to get involved?

This is massive.


I think that the core question is when are you responsible of the merchant for being the victim of a hack attack?

It is increasingly common.

There is a real question -- just because i got beat, and my negligent?

There is no clear line.

If you are a mom and pop retailer, you might be a little worried here.

How liable would you be?

You are relying on the security of the overall system.

If that system fails for target, what about you if you're a small business?

This thing they might hope is that you are a less of a -- a less attractive victim.


All right.

Thank you.

For more on that story, check out bloomberg is this week on stands.

Moving and shaking this hour, former musician justin bieber put out a series of is our tweets.

He announced to his followers that he is officially retiring.

Some on twitter reacted with shock and sadness.

Others did not.

One said that it is the greatest

This text has been automatically generated. It may not be 100% accurate.


BTV Channel Finder


ZIP is required for U.S. locations

Bloomberg Television in   change