ParkMobile data breach leads to $32 million settlement. Are you owed a payout?

Some ParkMobile customers could be owed money as part of a $32 million class-action settlement.

The agreement follows a 2021 data security breach that some users argued the parking solutions company was liable for, citing a lack of protections for customers’ sensitive information.

Impacted customers were notified and are eligible for a $25 payment, per the terms of the settlement.

ParkMobile operates in nearly 600 cities across the U.S., helping people find and pay for parking “without having to use a meter or kiosk,” according to its website.

Customers can also reserve parking at airports, or ahead of concerts and other special events from their phones.

A complaint filed in U.S. District Court for the Northern District of Georgia in 2022 said tens of millions of ParkMobile users’ information was accessed by hackers and pointed to what plaintiffs described as “deficient security systems and ... measures” by the company.

“Contrary to its representations and promises, however, ParkMobile utilized inadequate data security measures it knew, or should have known, put the personal and personal and sensitive data it solicited, collected, and stored at significant risk of theft by or exposure to nefarious parties,” plaintiffs said.

ParkMobile has denied any wrongdoing in the case.

In a statement posted on its website in November, the company said it “immediately launched an investigation, quickly eliminated a third-party vulnerability, and continue to maintain our security and monitor our systems.”

McClatchy News reached out to ParkMobile for comment Dec. 11 and was awaiting a response.

Here’s what to know about the settlement:

Who’s eligible?

ParkMobile users who were notified about the 2021 data breach can submit a claim, settlement administrators said.

How do I file a claim?

Claim forms can be submitted online or mailed to the claims administrator, according to the administrator’s website.

Some ParkMobile users received an emailed notice containing a unique ID and confirmation code to complete the form.

The deadline to file a claim is Wednesday, March 5.

How much is the payment?

Affected customers who file a valid claim can get a maximum $25 payout.

Users who decline the cash payment will instead get a coupon code for $1 credit at the end of the claim period, according to administrators. The credit can be used in the ParkMobile app and expires one year from the date the code was emailed.

When will I get paid?

A final hearing to approve the settlement is set for March 13, although potential appeals could hold up payments.

“It also takes time for all the Claim Forms to be processed, depending on the number of claims submitted and whether any appeals are filed,” settlement administrators said. “Please be patient.”

This story was originally published December 12, 2024 at 11:06 AM with the headline "ParkMobile data breach leads to $32 million settlement. Are you owed a payout?."

Tanasia Kenney

Sun Herald

Tanasia is a service journalism reporter at the Charlotte Observer | CharlotteFive, working remotely from Atlanta, Georgia. She covers restaurant openings/closings in Charlotte and statewide explainers for the NC Service Journalism team. She’s been with McClatchy since 2020.