Marriott Faces Close to $125 Million Fine Over 2018 Data Breach

Jul 9, 2019

This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.

On Monday, the UK’s Information Commissioner Office (ICO) slapped British Airways with a potential £183 million fine for its 2018 data breach. To follow that up, on Tuesday, the ICO detailed its intention to fine Marriott more than £99 million (nearly $125 million) for its November 2018 data breach.

Like the BA fine, the ICO’s fine on Marriott was placed because of ‘infringements of the General Data Protection Regulation (GDPR)’. That GDPR breach involved the stealing of personal information of about 339 million Marriott guests.

The information exposure first started in 2014 but didn’t come to light until 2018, when Marriott originally said that more than 500 million guests had been affected. Marriott plans to fight the fine.

“We are disappointed with this notice of intent from the ICO, which we will contest,” Marriott CEO Arne Sorenson said in a statement. “Marriott has been co-operating with the ICO throughout its investigation into the incidents, which involved a criminal attack against the Starwood guest reservation database”.

In the eyes of the ICO, Marriott should have done more to review Starwood’s data practices and securing its systems. The watchdog agency now says that Marriott has made improvements to its security since the events came to light.

Under GDPR regulations, the ICO had the ability to impose a fine of up to 4% of a company’s global annual revenue.

Featured photo by Roberto Machado Noa/LightRocket via Getty Images.

Chase Sapphire Preferred® Card

WELCOME OFFER: 60,000 Points

TPG'S BONUS VALUATION*: $1,200

CARD HIGHLIGHTS: 2X points on all travel and dining, points transferrable to over a dozen travel partners

*Bonus value is an estimated value calculated by TPG and not the card issuer. View our latest valuations here.

Apply Now
More Things to Know
  • Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 toward travel when you redeem through Chase Ultimate Rewards®
  • 2X points on travel and dining at restaurants worldwide & 1 point per dollar spent on all other purchases.
  • Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards. For example, 60,000 points are worth $750 toward travel
  • Get unlimited deliveries with a $0 delivery fee and reduced service fees on orders over $12 for a minimum of one year on qualifying food purchases with DashPass, DoorDash's subscription service. Activate by 12/31/21.
  • Earn 5X points on Lyft rides through March 2022. That’s 3X points in addition to the 2X points you already earn on travel.
Intro APR on Purchases
N/A
Regular APR
15.99%-22.99% Variable
Annual Fee
$95
Balance Transfer Fee
Either $5 or 5% of the amount of each transfer, whichever is greater.
Recommended Credit
Excellent/Good

Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.