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ARTICLE · 01 JULY 2016

Does The Wendy's Data Breach Prove A Single POS System Is Best?

Fox Rothschild LLP
Fox Rothschild LLP
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This month Wendy's revealed that the security breach it disclosed earlier this year was much larger than it initially reported.

United StatesCorporate/Commercial Law

This month Wendy's revealed that the security breach it disclosed earlier this year was much larger than it initially reported. As most people know by now, Wendy's originally announced that customer credit card data was stolen from approximately 300 Wendy's locations. Wendy's blamed a third-party point-of-sale (POS) provider used by some of its franchisees for the breach. It reported that hackers stole the credentials of personnel employed by a third-party vendor and used the credentials to gain access to certain franchisees' POS systems. The hackers then installed malware that read the magnetic strip on credit and debit cards and sold the information to criminals. A class action lawsuit was filed by customers affected by the data breach against Wendy's in February.

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