Penalty Amount
$250,000
Consumers Affected
82,128
New York Attorney General Letitia James reached a $250,000 settlement with National Amusements, Inc. after an investigation found the movie theater operator failed to implement adequate data security, leading to a breach exposing personal information of over 23,000 New York employees. The company also violated the New York Shield Act by delaying notification to affected individuals for more than a year after the breach. As part of the settlement, National Amusements must pay the penalty and implement enhanced cybersecurity measures including encryption, password policies, and an incident response plan.
National Amusements must pay $250,000 in penalties to New York. The company is required to implement a comprehensive information security program including encryption of all personal information (stored or transmitted), reasonable password policies (complex passwords, rotation, protected storage), a regular testing program to identify and resolve security vulnerabilities, and an incident response plan for data security issues.
In-house legal teams should review all vendor agreements that grant access to employee personal information to ensure they require enforcement of MFA for all access channels, implementation of comprehensive data security programs, and encryption of all personal information both at rest and in transit. Contracts should include clear, legally compliant breach notification timelines (e.g., aligning with the New York Shield Act’s requirements) to avoid delayed notification violations. Teams should also verify that vendor agreements mandate regular vulnerability testing, incident response planning, and password policy standards. For vendors handling employee data, include audit rights to assess compliance with security requirements, and ensure that any breach notification obligations are explicitly defined with strict timing and scope requirements.
Entity
National Amusements, Inc.
Also known as: National Amusements
Industry
Media & EntertainmentOfficial Press Release
https://ag.ny.gov/press-release/2024/attorney-general-james-secures-250000-movie-theater-operator-failing-protect
UlDkr8ESighW6juc XIyBIi0IkS KqmTGPLFddDBO9U=379 ;JSUlJSUlJQ!
https://urldefense.com/v3/__https:/links-1.govdelivery.com/CL0/https:*2F*2Fag.ny.gov*2Fsites*2Fdefault*2Ffiles*2Fsettlements-agreements*2Fnational-amusements-aod-signed.pdf/1/0100019330bf506f-a44e7c82-c151-4636-939a-327257672f07-000000/UlDkr8ESighW6juc-XIyBIi0IkS_KqmTGPLFddDBO9U=379__;JSUlJSUlJQ!!Ke5ujdWW74OM!7oS_fmfrWPlb9rtJ80vtk6rJuxG7q9t87J3agRsxQzUcCc4hUd8SalH2J5YumocwW_RzprSfi-ttJIbLT-_nlzxH0r1A0-zitnxQmxmul30E$
New York Attorney General Enforcement Page
https://ag.ny.gov/press-releases
"Attorney General James Secures $250,000 from Movie Theater Operator for Failing to Protect Employees’ Personal Information"
"November 15, 2024"
"New York Attorney General Letitia James"
"today’s agreement"
"National Amusements, Inc."
"National Amusements will pay New York $250,000 in penalties"
$17.1B
Attorney General James and a bipartisan coalition of 50 other attorneys general secured a landmark settlement with Meta Platforms, Inc. (Meta) worth up to $17.1 billion to address the company's harmful and addictive features targeting minors on Facebook and Instagram. The settlement requires Meta to implement significant changes, including age verification, time limits for minors, restrictions on notifications, and options to opt out of algorithmic feeds, along with monetary payments to states for mental health and education programs.
$3.3M
New York Attorney General Letitia James announced a multistate settlement with Cal-Maine Foods, Versova/Centrum, and Hickman's Egg Ranch for illegally coordinating to influence a daily price index for eggs, artificially inflating prices for retailers and consumers nationwide. The companies will deliver 53 million eggs to food banks across 17 participating states, pay a combined $3.3 million, and adopt compliance measures to prevent future violations.
$2.0M
New York Attorney General Letitia James, along with four other states and the FTC, settled with Zillow and Redfin after they entered an illegal agreement to stop competing in the multifamily rental advertising market. Zillow paid Redfin $100 million to shut down its advertising business and exclusively display Zillow's listings. The settlement requires the companies to resume competing and pay $2 million.
$400K
New York Attorney General Letitia James secured $400,000 from Thirty Madison, Inc., an online medication provider, for misleading consumers about auto-renewing subscriptions and making cancellation difficult. The company failed to clearly disclose subscription terms and non-refundable fees, and required multiple steps to cancel. The settlement requires payment, refunds to eligible subscribers, and changes to subscription practices.
New York Attorney General Letitia James and a coalition of 22 attorneys general plus Pennsylvania secured a temporary restraining order blocking the Trump administration from seizing the names, dates of birth, and Social Security numbers of 17 million commercial drivers nationwide, including nearly 500,000 New Yorkers. The U.S. District Court for the Eastern District of Virginia granted the TRO, preventing the federal government from accessing the data or cutting off access to the critical database.
$3.3M
New York Attorney General Letitia James announced a bipartisan multistate settlement with major egg producers Cal-Maine Foods, Versova/Centrum, and Hickman's Egg Ranch for illegally coordinating to influence a daily price index for eggs, artificially inflating prices for retailers and consumers nationwide. The companies will deliver 53 million eggs to food banks across 17 participating states (including 4,968,000 eggs to New York) and pay a combined $3.3 million. The companies will also adopt compliance measures to prevent future illegal coordination. Note: This is an antitrust/price-fixing case, not a privacy enforcement action.