Emerald Business Systems Blog


Restaurants file lawsuit against payment terminal vendor after customers have identities stolen

Posted in PCI,POS,Restaurant by ebs4pos on November 28, 2009

A group of US restaurants have filed a class action lawsuit against a point of sale vendor after customers had their identities stolen after using uncompliant terminals.According to a report on Finextra, seven restaurants in Louisiana and Mississippi are seeking millions of dollars in damages from vendor Radiant and its distributor Computer World after hundreds of their customers had their identities stolen as a result of payments terminals that were not PCI DSS compliant.One of the attorneys acting as a legal advisor to the restaurants in the lawsuit, Charles Hoff, said in a statement that a special investigation by the United States Secret Service found that Computer World, the exclusive area distributor of Radiant Systems' ‘Aloha' POS software violated PCI DSS provisions.Hoff said: “When major players in the hospitality industry such as Radiant Systems and its distributors say their software and business practices are PCI-DSS compliant, our clients trust them.“When those claims of compliance and proper security practices turn out to be false, the restaurants are left to suffer huge financial losses due to financial penalties imposed by the credit card companies. Their reputations are tarnished. We're determined not to let Radiant and Computer World simply walk away from their responsibilities.”

via Restaurants file lawsuit against payment terminal vendor after customers have identities stolen – SC Magazine UK.

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