California Pizza Kitchen has agreed to a class action settlement to resolve claims, it failed to prevent a data breach in 2021.
The settlement benefits individuals whose information was compromised in the California Pizza Kitchen data breach announced in November 2021 and who received notice of the breach. The settlement includes a subclass of California consumers.
In November 2021, California Pizza Kitchen announced that it was undergoing a data breach in September 2021, which compromised the social security numbers of more than 100,000 former and current employees, according to Tech Crunch.
Affected consumers quickly filed a lawsuit against California Pizza Kitchen, arguing that the company failed to protect their information with reasonable cybersecurity measures.
“Clearly, CPK failed to protect the PII of plaintiffs and class members and unreasonably delayed notifying them of the data breach,” the data breach class action claims. “Plaintiffs and class members suffered harm as a result of CPK’s conduct.”
The plaintiffs note that their information has been listed on the dark web for sale to criminals and is likely still available. This, in addition to other consequences of the data breach, would put plaintiffs and class members at risk of fraud and identity theft for years to come.
California Pizza Kitchen has not admitted any wrongdoing, but has agreed to a class action settlement to resolve these claims. The exact amount of the settlement was not disclosed in court documents.
Under the terms of the California Pizza Kitchen lawsuit settlement, class members may receive reimbursement of out-of-pocket expenses. The settlement allows class members to claim up to $1,000 in disbursements such as bank charges, communication fees, credit charges and up to three hours of lost time at a rate of $20 per hour . Class members may also seek up to $5,000 in extraordinary charges such as documented and unreimbursed fraudulent charges related to the data breach.
Members of the California subclass may collect an additional $100, subject to the $1,000 for regular disbursements.
All group members are eligible for 24 months of free credit monitoring. Class members who signed up for 12 months of credit monitoring from California Pizza Kitchen’s original notification letter will have 24 months of monitoring added to their 12 month term.
The exclusion and objection deadline is September 27, 2022.
The final approval hearing for the California Pizza Kitchen class action settlement is scheduled for November 3, 2022.
In order to receive settlement benefits, Class Members must submit a valid Claim Form by October 27, 2022.