The opinion of the court was delivered by: Denise Cote, District Judge:
Plaintiff Valerie Reed ("Reed") seeks preliminary approval of a class action settlement in a lawsuit filed pursuant to the Fair and Accurate Credit Transactions Act ("FACTA"), 15 U.S.C. § 1681c(g). This Opinion describes issues which require further scrutiny before preliminary approval may be granted.
Reed filed this action on July 26, 2010 against defendant Continental Guest Services Corporation ("Continental"), alleging that it had violated the provision of FACTA which directs that, as of December 4, 2006, [N]o person that accepts credit cards or debit cards for the transaction of business shall print more than the last five digits of the card number or the expiration date upon any receipt provided to the cardholder at the point of sale of the transaction.
15 U.S.C. §§ 1681c(g)(1), (3). Individuals who "willfully fail to comply" with this requirement are subject to civil liability for:
(1)(A) any actual damages sustained by the consumer as a result of the failure or damages of not less than $100 and not more than $1,000; or . . .
(2) such amount of punitive damages as the court may allow; and
(3) in the case of any successful action to enforce any liability . . . the costs of the action together with reasonable attorney's fees as determined by the court.
Continental, a corporation headquartered in New York, provides concierge services for visitors to New York City.
Tourists are able to make hotel, theater, transportation, and dining arrangements through Continental's services.
After engaging in settlement discussions before Magistrate Judge Frank Maas, the parties agreed to a settlement on February 10, 2011. The proposed settlement class is defined as
All persons who received electronically printed receipts from [Continental] at the point of sale or transaction, in a transaction occurring between June 3, 2008, and [Date of Preliminary Approval], and wherein the receipt displayed (1) more than the last five digits of the person's credit card or debit ...