Yahoo Agrees to $50 Million Settlement for Those Affected by the 2013 Data Breach
Yahoo has agreed to pay a $50 million settlement to roughly 200 million people affected by the email service’s 2013 data breach, known as the largest corporate data security breach.
Up to 3 billion accounts had their emails and other personal information stolen in the hacking, but the settlement filed late Monday only applies to an estimated 1 billion accounts, held by 200 million people in the United States and Israel between 2012 and 2016, when the data breach was revealed.
A hearing to approve this proposed end to the two-year lawsuit will be held in California on Nov. 29. If approved, the affected account holders will be emailed a notice. Alerts will also be published in People and National Geographic, the Associated Press reports.
Claims to a portion of the $50 million can be made by account holders who suffered a loss (such as identity theft or delayed tax refunds) as a result of the data breach. Those with eligible claims will be compensated for time spent handling these losses at a rate of $25 per hour, up to $375 with documentation.
Premium Yahoo account holders will also be eligible for a 25% refund, and all account holders affected will receive free credit-monitoring services through AllClear for two years. Yahoo will also have to pay $35 million in lawyer fees, TechCrunch reports.