Michigan judge approves $31.5M Flagstar Bank data breach class settlement

A federal judge in Michigan granted final approval to a $31.5 million class action settlement resolving claims against Flagstar Bank arising from two cyberattacks that compromised data of more than 2.18 million customers and employees. The settlement includes roughly $10.5 million in attorneys' fees, litigation costs, and monetary relief and credit monitoring for class members. The case had been consolidated from two separate data breach lawsuits in the Eastern District of Michigan.

Why it matters. The approval confirms a sizable recovery path for consumers in a major bank data breach case and offers a benchmark for valuing claims in other pending financial-sector breach litigation.