Faruqi & Faruqi Achieves Historic Settlement in In re The Home Depot, Inc. Shareholder Derivative Litigation

Faruqi & Faruqi, as co-lead counsel, achieved the first settlement ever in a data breach shareholder derivative lawsuit.  On April 21, 2017, Plaintiffs Cora Frohman and Mary Lou Bennek, on behalf of nominal defendant, The Home Depot (the “Home Depot” or the “Company”), reached an agreement-in-principle with the defendants named in the action, whereby Home Depot agreed to adopt and/or maintain various corporate governance reforms pertaining to data security.  The parties, with the assistance and input from renowned data security experts and representatives from Home Depot, including the Company’s Chief Information Security Officer, the Company’s Senior Director of Information Security and the Company’s Director of Information Security, worked together to reach an amicable conclusion to this action and devise state of the art corporate governance reforms intended to enhance the Company’s existing cybersecurity policies and procedures. The proposed settlement is subject to court approval.