More than five years after a massive 2008 data breach, Heartland Payment Systems once again asked a federal judge to dismiss a lawsuit filed by a group of credit unions and banks, according to court documents obtained by CU Times.

In a motion filed Oct. 15 in U.S. District Court's Houston Division, Heartland's legal team argued that the negligence claims are barred by state laws in New Jersey, where Heartland is headquartered, and Texas, where the breach occurred.

The Princeton, N.J.-based processing giant contended that Texas economic loss doctrine should apply to the case because the core of the negligence claim -  accusations that the company's inadequate IT security measures permitted the breach – occurred at a Heartland data center in Texas, the documents said.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.