Target Settlement With MasterCard Falls Apart

A $19 million deal between Target and MasterCard to settle lawsuits stemming from the retailer's massive pre-Christmas 2013 data breach has been scrapped because it failed to get enough support from the affected banks and credit unions. While the rejection sends the companies back to the drawing board, advocates for the financial institutions said they were pleased, claiming that the settlement would have provided compensation for just a fraction of the losses. Under the settlement announced last month, Target agreed to set aside $19 million for banks and credit unions that had issued MasterCards swept up in the breach that compromised 40 million credit and debit card accounts between Nov. 27 and Dec. 15, 2013.