T-Mobile Friday agreed to pay $350 million to customers affected by a class action lawsuit filed after the company disclosed last August that personal information such as social security numbers had been stolen in a cyberattack. (Alan Diaz, AP Photo)
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NEW YORK — T-Mobile has agreed to pay $350 million to customers affected by a class action lawsuit filed after the company disclosed last August that personal information as if social security numbers had been stolen in a cyber attack.
In a Securities and Exchange Commission submit on Friday, the mobile phone company said it would cover the funds for claims from group members, the legal costs of the plaintiffs’ attorneys and the costs of administering the settlement. It also said it would spend $150 million next year and 2023 to bolster its data security and other technologies.
T-Mobile said the settlement contains no admission of liability, misconduct or responsibility by any of the defendants.
The company said it expects the court to approve the terms of the settlement as early as December 2022.
Nearly 80 million US residents were affected by the breach. In addition to social security numbers, names and information from driver’s licenses or other identification data were also violated.
T-Mobile, based in Bellevue, Washington, along with AT&T and Verizon, became one of the largest mobile carriers in the country after acquiring rival Sprint in 2020. It reported a total of 102.1 million U.S. customers after the merger. to have.
T-Mobile said it expects a total pre-tax expense of about $400 million in the second quarter of this year.