Sprouts Farmers Market 5 Million Settlement Over Receipts Showing Too Many Card Digits

Shoppers who used a personal credit, debit, or EBT card at Sprouts Farmers Market between Aug. 16, 2020, and April 15, 2023, alleged they sometimes received register receipts that displayed more than the last five digits of their card number. That matters because discarded or lost receipts can be exploited for fraud, and Congress addressed this risk through the Fair and Accurate Credit Transactions Act (FACTA), a federal law that generally requires merchants to truncate card numbers on electronically printed receipts and prohibits printing expiration dates. The lawsuit was filed because plaintiffs claim Sprouts’ receipt formatting violated FACTA’s truncation rules, potentially increasing identity-theft risk; Sprouts denied wrongdoing but agreed to a $5 million settlement to avoid the expense and uncertainty of continued litigation. Eligible customers can submit one claim for a pro rata cash payment (the amount depends on how many valid claims are filed), and the settlement also pushes operational change by requiring Sprouts to adopt a written policy ensuring receipts show no more than the last five digits and omit the expiration date—an example of how consumer class actions can influence day-to-day retail compliance even without a trial verdict. More broadly, this case fits a long-running wave of FACTA “receipt-printing” class actions brought against retailers, restaurants, and other point-of-sale businesses when POS systems are misconfigured or third-party software prints too many digits. The industry context is that merchants must align receipt templates across in-store lanes, self-checkouts, and payment processors, and even minor formatting deviations can trigger statutory exposure—so settlements like this tend to reinforce tighter internal controls, vendor oversight, and routine auditing of receipt outputs to meet federal truncation requirements.