From an article in the NY Times, it seems that Visa is dropping CardSystems Solutions as a credit card processor.
Visa USA says that it will stop allowing payment processor CardSystems Solutions to handle its transactions, months after procesor left records of millions of cardholders at risk for fraud; Visa official says that CardSystems has not corrected, and cannot at this point correct, failure to provide proper data security for those accounts; cardholders and merchants should not be affected by change; Visa notes that independent investigation found that payment processor had improperly stored cardholder data and did not have proper controls in place.
Mastercard is still evaluating what it will do and is following closely what CSS is doing to improve its processes.
Quote from the CRYPTO-GRAM newsletter from August 15, by Bruce Schneier :
“MasterCard International Inc. is taking a different tack with
CardSystems. The credit card company expects CardSystems to develop a
plan for improving its security by Aug. 31, ‘and as of today, we are
not aware of any deficiencies in its systems that are incapable of
being remediated,’ spokeswoman Sharon Gamsin said.
Scheiers view on CardSystems
So it seems that at least something is happening. No news on the law front though.