Zara USA FACTA Class Action Lawsuit Settlement

Zara USA, one of the largest international fashion companies, has agreed to pay nearly $425,000 to resolve claims that the company willfully violated the Fair and Accurate Credit Transactions Act (FACTA) by electronically printing customer receipts at the point of sale that displayed the first six digits of customers’ debit or credit cards.

Plaintiff Yan Tsang brought the class action lawsuit against the fashion retailer in 2015, alleging that when he used his American Express card to make a purchase at one of Zara USA stores he was provided with an electronically printed receipt at the point of sale that contained the first six digits of his payment card, in addition to the last four numbers – a violation of FACTA.

FACTA is a federal law enacted in 2004 that permits only the last five digits of a credit card number to be printed on a credit or debit card receipt and must also not include the expiration date.

Enacted in part to address the security practices of merchants who accept payment via credit or debit cards, the law addresses the growing problem of identity theft as credit and debit card numbers along with expiration dates displayed on printed receipts can put consumers at risk for identity theft and fraud.

Under the terms of the Zara FACTA class action settlement, all persons to whom Zara USA provided an electronically printed receipt at the point of sale in a transaction occurring inside one of Zara’s stores in the United States, from Apr. 28, 2015 to July 1, 2015, which displayed the credit card’s first six digits are eligible to receive a maximum of $100 per transaction.

The Class includes customers who used debit cards as credit cards without a PIN being used, but excludes debit cards in which a PIN was used.

Additionally, Zara has agreed to pay a separate amount of $10,000 to Tsang for statutory damages and as an incentive for being the Class Representative and for the time representing the interests of the Class in this lawsuit, including attending one settlement conference.

Zara denies that it willfully violated the FACTA, and it denies that the plaintiff and Class Members are entitled to any damages. But, in order to avoid the cost, risk, delay of litigation, and uncertainty of trial, the parties agreed to a settlement.

According to Zara’s records, there were 4,245 transactions during the settlement class time period.

To exclude yourself from the settlement, you must make your request known no later than Sept. 26, 2016. To object to the Zara FACTA settlement, you must do so by Oct. 10, 2016.

Who’s Eligible

Under the terms of the Zara class action lawsuit settlement, Class Members include all persons to whom Zara USA provided an electronically printed receipt at the point of sale in a transaction occurring inside one of Zara’s stores in the United States, from Apr. 28, 2015 to July 1, 2015, which displayed the credit card’s first six digits.

The Class includes debit cards that were used as credit cards without a PIN being used, but excludes debit cards in which a PIN was used.

Potential Award

$100.

Each eligible Class Member who submits a timely claim may receive up to $100 per payment card transaction that occurred between Apr. 28, 2015 to July 1, 2015 where the electronically printed receipt displayed the credit card’s first six digits.

Proof of Purchase

N/A.

You must provide the location of the store from where you made your purchase, what type of credit or debit card you used, and the last four digits of the credit or debit card used.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

09/26/2016

Case Name

Tsang v. Zara USA Inc., Case No. 15-cv-11160, in the U.S. District Court for the Northern District of Illinois, Eastern Division

Final Hearing

10/25/2016

UPDATE: On November 2, 2016, the court approved the Zara FACTA settlement.  Let Top Class Actions know when you receive a check in the comments section below or on our  Facebook page.

Settlement Website

www.SettlementZara.com

Claims Administrator

Tsang v. Zara USA, Inc.
c/o Heffler Claims Group
PO Box 58129
Philadelphia, PA 19102-8129
844-491-5744

Class Counsel

Curtis C. Warner
WARNER LAW FIRM LLC

Defense Counsel

Jay K. Musoff
Laura K. McNally
LOEB & LOEB LLP

Free FACTA Class Action Lawsuit Investigation

If you made one or more purchases and the retailer provided you with a receipt that contained more than the last five digits of your credit or debit card number or the expiration date, you may be eligible for a free class action lawsuit investigation and to pursue compensation for these FACTA violations.

GET STARTED