If you were among the 21 million users affected by the 2021 data breach involving the popular parking app ParkMobile, you might be eligible for compensation from a proposed $32.8 million settlement.
The incident: A major data breach
In March 2021, ParkMobile announced that it had been impacted by a cybersecurity breach. The breach resulted from a vulnerability in third-party software the company used. Sensitive information such as license plate numbers, email addresses, phone numbers, and hashed passwords were compromised. Although encryption keys for passwords were not accessed, users reported incidents of fraud and identity theft, including unauthorized access to services like PayPal and Netflix.
The legal action and allegations
A class-action lawsuit filed in Georgia federal court accused ParkMobile of negligence in implementing adequate security measures, citing the Federal Trade Commission’s recommended protocols as a benchmark. Plaintiffs argued that the breach exposed users to long-term risks of identity theft and fraud. According to the lawsuit, the compromised information included license plate numbers, email and mailing addresses, dates of birth, phone numbers, and “hashed passwords.” Plaintiffs claimed they experienced “fraudulent activity” after the breach, like people accessing their Netflix and Venmo accounts. ParkMobile, while acknowledging the breach, denied any wrongdoing but has agreed to the settlement.
Who can claim the settlement?
The settlement is available to individuals in the United States whose data was compromised. If you received a notice from ParkMobile about the breach, either by mail or email, it includes a notice ID and confirmation code required to file a claim. Those who believe they are eligible but have not received a notice can contact the settlement administrator or check their eligibility on the official settlement website.
How to file a claim
To file for compensation, you can:
- Submit your claim online using your notice ID and confirmation code.
- Request a paper claim form by mail or download and print it from the settlement website.
- Ensure your claim is submitted online by 11:59 PM PT on March 5, 2025, or postmarked by the same date for mail submissions.
What compensation is available?
The $32.8 million settlement allocates $9 million for direct cash payments to affected users. Class members who file claims can receive up to $25 in cash. Alternatively, a $1 credit for the ParkMobile app, capped at $21 million, will automatically be sent to users who do not file a claim. The credit must be used within a year of receipt.
You do not need to file a claim to receive this credit; it will be sent automatically if you are a class member. If you are a class member but would like to exclude yourself from receiving payment altogether, you must send a letter by February 3, 2025, requesting removal from the settlement.
Settlement timeline
The final approval hearing for the settlement is scheduled for March 13, 2025. Payments will only be distributed after the settlement receives court approval and any potential appeals are resolved. The process may take several months, so patience is advised.
Why does this matter?
The ParkMobile settlement highlights the increasing risks of data breaches in today’s digital landscape and highlights the importance of holding companies accountable for safeguarding personal information. If you qualify for this settlement, taking the necessary steps to claim your compensation is a small but important way to assert your rights.
