TD Bank’s U.S. subsidiary settles lawsuit with data aggregator Plaid

TORONTO – TD Bank Group’s U.S. subsidiary has settled a lawsuit it filed against a data aggregator it accused of using the bank’s logo to trick users into handing over personal data that can later be monetized.

Judge Renee Marie Bumb says in an order filed in a New Jersey court that the case TD had against Plaid Inc. has been dismissed and both parties have been ordered to cover their own costs.

Documents filed ahead of the order show the bank requested a dismissal because the matter had been settled “amicably.”

The case began last October, when TD filed a lawsuit that accused Plaid of creating a user interface for financial services applications that infringes on the bank’s trademarks, logos and green colour scheme.

The bank argued that Plaid’s interface “dupes” consumers into believing they are entering personal information into TD Bank’s trusted platform.

Plaid denied trying to trick users into handing over personal information and said it was caught off-guard by the lawsuit because it had been working to resolve the issue with the bank for quite some time.

TD spokeswoman Lynsey Wynberg and Plaid spokeswoman Claudia Lo confirmed a settlement was reached, but declined to share its terms.

This report by The Canadian Press was first published Dec. 2, 2021.

Companies in this story: (TSX:TD)