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Westlaw News

Credit unions can serve up negligence claim in Sonic data breach case - judge

An Ohio federal judge ruled on Sonic Corp’s bid to dismiss claims brought by financial institutions over a 2017 data breach in which hackers accessed customers’ payment card data from 325 of its drive-in locations, allowing a negligence claim to proceed while nixing claims of negligence per se and for declaratory and injunctive relief.

U.S. District Judge James Gwin in Cleveland on Wednesday granted in part and denied in part the nationwide fast food restaurant’s motion to dismiss, finding the plaintiffs had adequately pleaded that Sonic’s “affirmative acts” exposed them to “a high degree of risk which a reasonable person would have considered.”

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