Agreement between the Kroger & British Airway on Data Breaches

According to the recent reports which showed that the US number one drugstore and supermarket chain Kroger and UK-based British Airways. Have joined hands and have agreed to settle class-action lawsuits brought in the wake of two massive data breaches.

However, the agreement is under the proposed settlement recently filed in California federal court. Kroger agrees to pay $5 million to settle claims in several class-action lawsuits filed in the wake of the data breach. That has affected more than 3.8 million employees and customers of the file transfer service provider, Accelerate.

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Here’s Kroger’s proposed settlement:  Lawsuits have been filed against Kroger in the wake of a hacking incident involving the exploit of zero-day vulnerabilities in Accellion legacy File Transfer Appliance. Such vulnerabilities appear to have affected dozens of other Accellion clients in healthcare and many other sectors. Court documents suggest that Kroger’s proposed settlement would only resolve the claims brought against Kroger, not Accellion.  In several class-action lawsuits filed earlier this year against the two companies.

Furthermore, under the proposed Kroger deal, applicants may choose to receive a cash payment option designed according to specific terms of the settlement agreement. Two years of credit monitoring and insurance services or documented loss reimbursement of up to $5,000. Kroger also agreed to strengthen the third-party vendor risk management program, court documents memorandum.

Kroger Settlement Documents Note: “Accellion has provided notice to its customers, such as Kroger, that a newer and more secure Accellion file transfer product called Kiteworks is available. And that customers should move to that product. Plaintiffs allege that Kroger did not do so immediately and therefore.”

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