Breach, Data Security

Class-action filed against payroll company Paytime over massive data breach

A class-action complaint has been filed by Kraemer, Manes & Associates LLC and Carlson Lynch LTD against Paytime, a Pennsylvania-based payroll company that experienced a massive data breach in April.

“Paytime failed to safeguard and prevent vulnerabilities from being taken advantage of in its computer system,” according to documents filed in U.S. District Court for the Middle District of Pennsylvania on Friday.

The complaint seeks relief for all those impacted, which could be an estimated 216,274 individuals, according to a security breach notification filed in North Carolina.

Paytime announced in May that hackers had taken advantage of a vulnerability in its Client Service Center system and gained unauthorized access to customer information, including Social Security numbers, direct deposit bank account information, wage information and other data.

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