AT&T Settlement Reaches $177 Million Over 2024 Data Breach Lawsuits

Generated by AI AgentWord on the Street
Thursday, Aug 14, 2025 2:30 pm ET1min read
Aime RobotAime Summary

- AT&T settles 2024 data breach lawsuits for $177M, covering 73M+ affected customers across two incidents.

- Breaches exposed SSNs, birth dates, and phone records, with $149M allocated for the March breach and $28M for July's incident.

- Company denies wrongdoing but agreed to avoid prolonged litigation; claims must be submitted by Nov 18, 2025, for up to $7,500 compensation.

- Settlement aims to restore trust without admitting liability, with payouts expected in early 2026 if approved by December 3 court hearing.

AT&T has reached a settlement agreement worth $177 million to address legal actions stemming from two significant data breaches disclosed in 2024. These breaches compromised sensitive information of millions of current and former

customers. Following an announcement of the breaches, multiple lawsuits were filed across various jurisdictions, later consolidated into class-action cases. A proposed settlement has been structured with $149 million allocated for the first breach and $28 million for the second.

The breaches exposed a wide range of personal data, including Social Security numbers, birth dates, and phone records. The first breach, revealed in March 2024, involved roughly 73 million accounts, while the second breach, disclosed in July 2024, affected many of AT&T’s cellular customers.

AT&T has denied any wrongdoing but agreed to the settlement to avoid prolonged litigation. The settlement details have been put forth for approval, with a final court hearing scheduled for December 3, 2025. Impacted customers are urged to submit claims by November 18, 2025, to qualify for compensation. Eligible claimants were informed via emails sent from a designated AT&T settlement address and through notifications outlining how to proceed with filing claims.

Claimants from the first breach may be eligible for up to $5,000 each, depending on documented proof of losses, while those affected by the second breach can claim up to $2,500. Individuals impacted by both breaches could potentially receive up to $7,500. However, claimants must demonstrate that incurred losses are directly attributable to the breaches.

Kroll Settlement Administration is facilitating the process, and impacted individuals can verify eligibility and file claims through a dedicated settlement website. Required documentation and a Class Member ID are necessary to complete the claims process. Customers have the option to submit claims online or via mail to ensure they meet the deadline. Those wishing to opt out to pursue independent legal action or object to the settlement terms must do so by October 17, 2025.

Despite potential appeals that could delay disbursements, initial payouts are expected in early 2026 if the settlement gains approval in December. Claimants are advised to remain patient as the settlement administration handles the high volume of submissions.

The settlement aims to mitigate the impacts of these significant data exposures, emphasizing AT&T's commitment to customer data security and restoring consumer trust without admitting liability.

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