Stratfor has agreed to forgo $1.75m in income to settle a class action lawsuit arising from a high-profile hack by hacktivist group Anonymous against the global intelligence firm’s systems last December.
Anonymous-affiliated hackers broke into Stratfor’s systems in the run-up to Christmas last year before publishing hundreds of thousands of email addresses belonging to subscribers along with an estimated 4,000 customer credit records.
Chief among several mistakes that left Stratfor wide open to attack was a failure to encrypt the credit card files that hacktivists stole and later dumped online. David Sterling of Sterling & Sterling, a New York-area insurance broker and Stratfor subscriber, filed a class-action lawsuit over the breach.
Stratfor has offered to settle the suit by offering each claimant free access to its service for a month, something that would normally cost $29, as well an eBook published by Stratfor called The Blue Book, priced at $12.99. Supplying these goods and services at no charge will leave Stratfor an estimated $1.75m out of pocket, Reuters reports. The private intelligence firm also agreed to pay $400,000 in legal fees.