A major data breach in 2023 exposed the genetic and personal details of nearly 7 million customers, including over 855,000 Californians, following a security failure at a leading genetic testing company. California’s attorney general has secured a $6 million settlement from the company’s bankruptcy proceedings, resolving legal claims tied to the breach, though the state had previously opposed a controversial asset sale over concerns about consumer consent and privacy laws. The settlement follows a dispute over whether the bankruptcy sale complied with California’s Genetic Information Privacy Act, which the state argued was violated by the transfer of sensitive customer data. The case highlights ongoing tensions between corporate restructuring and consumer data protection in high-stakes privacy cases.
Millions of customers’ genetic and personal information exposed in 2023, including more than 855,000 CaliforniansCalifornia’s attorney general, Rob Bonta, on Monday announced the state will receive a $6m settlement payment in 23andMe’s bankruptcy, resolving California’s legal claims related to a 2023 data breach that exposed 6.9 million customers’ genetic and other personal information.California had unsuccessfully tried to block the $305m sale of 23andMe assets to TTAM Research Institute, a non-profit controlled by the 23andMe co-founder Anne Wojcicki. The state had argued that the bankruptcy sale violated California’s Genetic Information Privacy Act, and it had said consumers did not give express consent to the sale. Continue reading...