AMERICANS could be eligible to get up to $3,000 in a one-time payment, thanks to a data breach settlement.
But in order to receive their portion of the payout, they must take action before a looming settlement deadline.
2
The class action lawsuit stems from a purported 2024 security breach of a Bitcoin ATM operator named Byte Federal.
Rather than facing trial in civil court, the company has agreed to pay those allegedly affected by the breach up to $3,000.
Prior to the agreed-upon settlement, claimants and their legal representation presumably asserted that the alleged Byte Federal data breach allowed hackers to access sensitive personal information.
Among the data the cryptocurrency company failed to supposedly protect via cybersecurity protocols were social security numbers, birthdates, and other materials.
Obtaining this information, including transactions recorded by the company, could have potentially led to identity theft, fraud, and more.
WHAT ELIGIBLE CLAIMANTS NEED TO KNOW
Eligible claimants can receive up to $3000 for the alleged data breach, but the figure itself isn’t arbitrary.
The amount is meant to represent financial losses, like those related to fraud or identity theft.
The amount is also meant to cover legal fees, accounting costs, anything credit card-related such as frozen accounts, and other matters of that ilk.
Class members who choose to submit a Byte Federal claim form must also have valid documentation, such as invoices and receipts.
The payments will also make up for time spent in response to the event itself, like password resets.
This will also include time spent summarizing, in writing, any and all activities claimants spent on looking into the effects the purported breach had on them personally.
This can be billed up to four hours at $20 per hour, with a cap at $80
This also means that while the payout itself is projected to be $3,000, claimants can get back as much as $3,080.
Additionally, Byte Federal is offering two years of free credit monitoring for those who are eligible and file.
BYTE FEDERAL SETTLEMENT DEADLINE INFO
Forms for the settlement amount must be filed by August 19.
What’s a class-action settlement?
Class action lawsuits offer groups of people, or ‘classes,’ a way to band together in court.
These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.
When a suit becomes a class action, it extends to all “class members,” or people who may have similar complaints to those who filed the suit.
Companies often settle class actions – offering payment to class members who typically waive their right to pursue further legal action by accepting money.
These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company’s doorstep.
All documents must be “self-prepared,” according to the company’s claim form.
If the filed documents are deemed valid, those part of the class action lawsuit can expect payment early in the following month.
As of this writing, purported victims of the alleged data breach have already received notification from Byte Federal via email or a physical postcard.
Notifications include unique IDs and pins to initiate claims.
For those who think they might have also been victims of the supposed breach, they are urged to contact the company directly by phone or by email.
2
