In December 2019, the company disclosed the discovery of malware on their payment processing servers affecting likely all of its locations. The company immediately engaged an external forensics firm and notified law enforcement (which was publicly declared removed from its systems within two days of its discovery).
Further investigation revealed that the malware had been harvesting customer information for six months (since March 2019) and may have collected up to 31 million customer records.
In April 2022, a $12 million settlement was reached for nearly 22 million of the customers affected in the security breach. The company also agreed to invest an additional $35 million upgrading its data security systems to enhance their protection of customers’ information (reported in August 2021).
In July 2022, the company agreed to a $8 million settlement with New Jersey, Pennsylvania, Florida, Delaware, Maryland Virginia and Washington D.C related to this incident.
In September 2023, it was reported that the company's lawsuit against Mastercard relating to this breach had been "thrown out".
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