US business news
Marriott Agrees to $52 Million Settlement and Enhanced Data-Security Measures
Marriott International has agreed to pay $52 million and adopt improved data-security practices in response to data breaches that affected hundreds of millions of customers.
The settlements, reached with the Federal Trade Commission (FTC) and a coalition of U.S. state attorneys general, aim to address longstanding security issues and protect Marriott’s guests from future cyber threats.
Details of the Settlements
The settlements require Marriott to pay $52 million to a coalition of 50 states, co-led by Connecticut Attorney General William Tong.
The Bethesda, Maryland-based hotel giant also reached a separate agreement with the FTC, under which it must implement enhanced data-protection measures and provide a way for customers to request deletion of personal information associated with their email addresses or loyalty accounts.
Data Breach History and Allegations
The FTC’s investigation revealed that between 2014 and 2020, Marriott and its acquired company, Starwood Hotels & Resorts Worldwide, experienced three significant data breaches.
Hackers accessed sensitive guest records, including contact details, dates of birth, and, in some cases, unencrypted passport numbers and payment card information. Marriott acquired Starwood in 2016, inheriting the compromised network.
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