Robinhood Financial LLC and Robinhood Securities LLC will pay nearly $1 million to settle allegations that they negligently failed to protect online brokerage accounts from hackers, under a deal given final approval by a federal judge.
The deal provides for a fund of $500,000 to cover class members’ claims, and separate payments of $484,000 for attorneys’ fees and $15,460 for litigation expenses.
Magistrate Judge Susan van Keulen of the US District Court for the Northern District of California granted the plaintiffs’ motion for final approval of the settlement Tuesday.
Source: Robinhood to Pay $1 Million to Settle Suit Over Hacked Accounts
