Too much data leads to lawsuits.Retailers in New Jersey and other states are being sued for violating a 2003 federal law meant to combat identity theft.
According to the New Jersey Law Journal, the suits in New Jersey charge the companies--including Toys R Us outlets, Hess gas stations, and Avis and Budget rental car companies--with putting too much identifying information on credit card receipts. Suits filed in other states accuse IKEA IKEA Ingvar Kamprad Elmtaryd Agunnaryd (Swedish home furnishings retailer founder's initials and location) , Costco, Victoria's Secret, and Rite-Aid with similar offenses, and the New Jersey Law Journal reported that more suits are on the way.
The Fair and Accurate Credit Transactions Act Under the Fair and Accurate Credit Transactions Act of 2003 (FACT Act or FACTA, Pub.L. 108-159) which was passed by the United States Congress on December 4 2003 as an amendment to the Fair Credit Reporting Act, consumers can request and obtain a free credit report (FACTA FACTA Fair and Accurate Credit Transactions Act of 2003 ) prohibits listing the expiration date or more than five digits of the account number from the customer's credit card on a receipt produced electronically. Violators can be liable for damages of up to $1,000 per violation.
According to a defense lawyer in the New Jersey cases, the large retail chains could face billions of dollars in claims if a wide-scale error resulted in the hundreds of thousands of non-complying receipts.
The New Jersey cases follow on the heels of litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute.
When a person begins a civil lawsuit, the person enters into a process called litigation. in California, where dozens of cases are pending. None has been decided, but judges have denied defense motions to dismiss for failure to state a claim Within a judicial forum, the failure to present sufficient facts which, if taken as true, would indicate that any violation of law occurred or that the claimant is entitled to a legal remedy.
Failure to state a claim is frequently raised as a defense in civil litigation. .