KM&A and Carlson Lynch LTD File a Class Action Lawsuit Against Paytime, Inc. Over Data Breach
FOR IMMEDIATE RELEASE
June 16, 2014
Kraemer, Manes & Associates LLC and Carlson Lynch LTD filed legal action against Paytime, Inc. on behalf all individuals affected by a major data breach. Paytime is a a national payroll service bureau providing payroll processing services to over one-thousand clients throughout the United States. It is believed that Paytime first had its systems accessed by unauthorized individuals on April 7, 2014, discovered the security breach on April 30, 2014, and waiting until May 12, 2014, to begin sending out notifications about the breach. The complaint alleges that Paytime failed to safeguard or protect the Plaintiffs’ and proposed Class members’ private, highly sensitive, confidential personal and financial information from being compromised and/or stolen, specifically failing to maintain sufficient security measures and procedures to prevent unauthorized access. It is believed that the compromised information includes the full legal names, Social Security numbers, bank account data, street addresses, birth dates, wages, hiring dates, and phone numbers of the affected individuals. The complaint asserts that over 233,000 individuals have had their personal and financial information misappropriated as a result of the breach of Paytime’s computer network.
It is believed that Paytime is legally at fault for the data breach. According to the complaint, Paytime was negligent by failing to adopt, implement, and maintain adequate security measures to safeguard Plaintiffs’ and proposed Class members’ personal and financial information, failing to adequately monitor the security of its networks, allowing unauthorized access to Plaintiffs’ and the proposed Class members’ personal and financial information, and failing to recognize in a timely manner that Plaintiffs’ and proposed Class members’ personal and financial information had been compromised. The complaint further asserts that Paytime breached its contracts with the Plaintiffs and proposed Class members by failing to safeguard and/or protect the Plaintiffs’ and the proposed Class members’ personal and financial information from being compromised or stolen.
Lead attorneys on this case are Michael Kraemer, Elizabeth Pollock-Avery, Gary Lynch, and Sunshine Fellows. Full text of the complaint, as filed with the court, is available here: Complaint – Paytime. The case is docketed in the United States District Court for the Middle District of Pennsylvania as a class action at 1-14-cv-01138-JEJ.
For more information and to sign up for updates, please visit lawkm.com/paytime.