Settlement Announced for Victims of Merchant of Tennis Cyberattack with Cash Benefits and Support
In a significant legal development, a class action settlement has been proposed regarding the cybersecurity incident that affected The Merchant of Tennis, Inc. and its affiliates. The incident, which occurred in February 2024, involved unauthorized access to sensitive personal information, raising concerns about privacy and security among those impacted. As of October 29, 2026, Simpluris, Inc., as the court-appointed Settlement Administrator, has announced the details of this settlement aimed at providing compensation and support to those affected.
The lawsuit, known as Victor Estrada v. The Merchant of Tennis, Inc. et al., (Case No. 24STCV09656), has elicited participation from various stakeholders including individuals whose data was compromised as well as employees of the involved companies. The settlement is designed for those whose personal information was accessed during the cyberattack, which is said to have affected not only employees but also third-party truck drivers associated with The Merchant of Tennis and its partners, U.S. Merchants Financial Group, Inc. and U.S. Optical Merchants, Inc.
Under this proposed settlement, individuals identified in the Settlement Class are set to receive benefits that come in both cash payments and services. Specifically, California residents whose information was affected during the breach will receive a cash payment of $45, while individuals residing outside of California will get $15. It is important to note that these payments can be adjusted based on the overall claims filed, either increasing or decreasing depending on the total participation.
To qualify for the cash payment or additional benefits, non-employee Settlement Class members must complete and submit a valid Claim Form by the stipulated deadline of January 27, 2027. All other affected individuals will be automatically eligible for cash payments without the need to file a claim. Furthermore, those claiming non-employee status may request reimbursement for actual losses up to $2,000, provided they submit the requisite documentation. They may also enroll for two years of credit monitoring services to mitigate the risks of identity theft stemming from the incident.
For individuals whose notifications were sent to addresses outside California, if they had resided in California in February 2024, they are encouraged to affirm their residency in a Claim Form.
Eligibility procedures also allow Settlement Class members who prefer not to be a part of this settlement to decline their participation. Those wishing to opt-out must do so by December 28, 2026. Participants who choose not to opt-out will relinquish their rights to file claims related to this cyber incident or any facts outlined in the original complaint. Additionally, members have the right to express objections to the settlement by the same deadline, voicing any concerns they may have through formal filings.
The court is scheduled to hold a Final Approval Hearing on March 30, 2027, where it will review the settlement terms and determine the approval status. During this hearing, considerations will also be made regarding the attorney's fees, which may be as high as one-third of the total settlement fund amounting to $228,333.33, along with up to $20,000 allocated for reimbursement of expenses and additional compensation for legal representation.
For comprehensive information about the settlement, terms of the agreement, claim submission procedures, and deadlines, impacted individuals can visit the settlement website at https://www.USMSettlement.com or reach out to the provided contact at (855) 444-5824. This settlement represents an essential step towards addressing the repercussions of the cybersecurity breach affecting numerous individuals and aims to restore their sense of security and justice as they navigate the aftermath of this incident.