Kirkland FACTA Case May Create Circuit Split

Kirkland, Inc. will face a putative class action for allegedly violating the Fair and Accurate Credit Transactions Act ("FACTA"). The plaintiffs filed their complaint against Kirkland in April 2017 for displaying the first six and the last four digits of their credit card or debit card numbers on their purchase receipts.  According to the plaintiffs, this increased their risk of facing credit card fraud and identity theft.  Kirkland countered, arguing that the case should be dismissed, in part, because they suffered no concrete injury.  The judge sided with the plaintiffs, finding that the consumers did not need to allege actual or imminent identity theft to show standing.

TAKEAWAY:  The decision was a departure from three other district court cases since the Supreme Court's decision in Spokeo, and indicates that courts are willing to find standing for a class under FACTA claims.