logo
PA Attorney General joins lawsuit to stop 23andMe's sale of customer data

PA Attorney General joins lawsuit to stop 23andMe's sale of customer data

Yahoo11-06-2025

PENNSYLVANIA (WTAJ) — Following the filing of bankruptcy by 23andMe and their intent to potentially sell consumer data, PA Attorney General Dave Sunday announced on Wednesday, June 11, his office is joining a bipartisan group of 28 Attorney Generals from across the country to file a lawsuit to block the sale.
23andMe, a popular DNA testing company, filed for bankruptcy in March 2025 and is now looking to sell off its assets by auction. Those assets would include sensitive genetic and health data of its customers.
'The millions of consumers — including many Pennsylvanians — who paid for these services certainly did not expect their sensitive data to one day be sold off to a highest bidder,' Attorney General Sunday said. '23andMe is trying to avoid their legal obligations to consumers simply by labeling this sale and transfer of consumer data as a 'change of ownership.' I continue to encourage 23andMe customers to consider deleting their data from the company's database.'
The lawsuit, filed in federal bankruptcy court on June 9, objects to the bankruptcy sale of the personal information that 23andMe collected and aims to stop the auctioning of it to the highest bidder. The argument is that this kind of information, such as biological samples, DNA data, and medical records, is too sensitive to be sold without every customer's consent and could potentially be used in ways that they were never informed of when they initially signed up for 23andMe.
Pennsylvania joins attorneys general from states like Arizona, Florida, New York, and West Virginia in the lawsuit.
Impacted consumers have until July 14, 2025, to file a proof of claim electronically and can submit a complaint to the Bureau of Consumer Protection or call the hotline at (800) 441-2555.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

From $6B Valuation to Bankruptcy to Rescue: Wojcicki Reclaims 23andMe for $305M
From $6B Valuation to Bankruptcy to Rescue: Wojcicki Reclaims 23andMe for $305M

Yahoo

time2 days ago

  • Yahoo

From $6B Valuation to Bankruptcy to Rescue: Wojcicki Reclaims 23andMe for $305M

Anne Wojcicki, co-founder and former CEO of 23andMe, will regain control of the embattled genetic testing company through a $305 million acquisition by her nonprofit TTAM Research Institute, the company announced on Friday. The deal marks the final stage in a bidding contest that began after 23andMe filed for Chapter 11 bankruptcy in March. According to the company, TTAM will acquire substantially all of 23andMe's assets, including its Personal Genome Service, Research Services, and Lemonaid Health, a telehealth subsidiary acquired in 2021. The purchase follows a previous winning bid from Regeneron Pharmaceuticals totaling $256 million, announced in May. However, TTAM submitted a higher unsolicited offer, prompting a reopened auction earlier this month. According to court documents cited by The Wall Street Journal, Regeneron declined to increase its bid, due to the company's remaining valuation. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Peter Thiel turned $1,700 into $5 billion—now accredited investors are eyeing this software company with similar breakout potential. Learn how you can Founded in 2006, 23andMe gained early popularity for its at-home DNA testing kits, which provide customers with insights into their ancestry and potential health risks. The company went public in 2021 through a special purpose acquisition company merger, reaching a peak valuation of nearly $6 billion. But after struggling to create a sustainable subscription model and weathering a 2023 cyberattack that exposed the personal data of nearly 7 million users, 23andMe saw its value decline. The company said it laid off about 40% of its workforce in November and halted therapeutic R&D programs. Wojcicki stepped down as CEO in March, shortly before the bankruptcy filing, to qualify as an independent bidder. Seven independent board members resigned in September, citing concerns over her leadership and privatization efforts. Trending: Maximize saving for your retirement and cut down on taxes: . Although TTAM's $305 million offer has been accepted, the deal is not yet finalized. Approval from the U.S. Bankruptcy Court for the Eastern District of Missouri is still pending, with a hearing scheduled for June 17, according to Friday's statement. Further complicating the process is a lawsuit filed by 28 state attorneys general led by New York's Letitia James, who say that the sale could violate consumer privacy rights by transferring genetic data without explicit consent. "23andMe cannot auction millions of people's personal genetic information without their consent," James said. According to the Journal, a court-appointed privacy ombudsman said in a report filed last week that he could not conclude the sale of genetic data was consistent with 23andMe's privacy policies. The report also flagged that TTAM's nonprofit status could exempt it from certain data-protection laws, raising further privacy concerns around the deal. During a House Oversight Committee hearing on June 10, interim CEO Joseph Selsavage said that 1.9 million people—about 15% of 23andMe's customers—had requested deletion of their data since the bankruptcy filing."I am thrilled that TTAM Research Institute will be able to continue the mission of 23andMe to help people access, understand, and benefit from the human genome. We believe it is critical that individuals are empowered to have choice and transparency with respect to their genetic data and have the opportunity to continue to learn about their ancestry and health risks as they wish," Wojcicki posted on LinkedIn. In Friday's announcement, TTAM said it would honor 23andMe's existing privacy policies, allowing users to delete their data and opt out of research participation, according to the release. It also plans to establish a Consumer Privacy Advisory Board within 90 days of the deal's closing. Read Next: Image: Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article From $6B Valuation to Bankruptcy to Rescue: Wojcicki Reclaims 23andMe for $305M originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data

23andMe Could Owe You Up to $10,000 After Its Data Breach Settlement
23andMe Could Owe You Up to $10,000 After Its Data Breach Settlement

CNET

time4 days ago

  • CNET

23andMe Could Owe You Up to $10,000 After Its Data Breach Settlement

Hackers used a credential stuffing attack to gain access to 23andMe accounts in October 2023. Getty Images/Viva Tung/CNET Users of 23andMe could get paid as much as $10,000, as part of the genetic testing company's massive data breach settlement. 23andMe was struck by a prolonged data breach that allowed hackers to gain personal data for about half of the company's 14 million customers. The company has struggled ever since, filing for bankruptcy in March 2025; it is now being acquired by TTAM Research Institute, a nonprofit being led by 23andMe co-founder Anne Wojcicki, which outbid Regeneron Pharmaceuticals. 23andMe has already started to allow customers to file claims for their shares of the legal settlement related to the data breach. The San Francisco-based company, which allows people to submit genetic materials and get a snapshot of their ancestry, announced in October 2023 that hackers had accessed customer information in a data breach. A January 2024 lawsuit accused the company of not doing enough to protect its customers and not notifying certain customers with Chinese or Ashkenazi Jewish ancestry that their data had been targeted specifically. It later settled the lawsuit for $30 million. "We have executed a settlement agreement for an aggregate cash payment of $30 million to settle all US claims regarding the 2023 credential stuffing security incident," a 23andMe spokesman told CNET. "We continue to believe this settlement is in the best interest of 23andMe customers, and we look forward to finalizing the agreement." A few months after that decision, there's now an official method available to make a claim and potentially get paid by 23andMe, in some cases as much as $10,000. Keep reading to get all the details you need, and for more, find out why T-Mobile settlement checks have been delayed and discover whether you can claim a piece of Apple's Siri privacy settlement. How many people did the 23andMe data breach hit? The settlement could cover roughly 6.9 million 23andMe customers whose data was targeted. To qualify, 23andMe customers must also have been US residents as of Aug. 11, 2023. That 6.9 million number includes around 5.5 million customers of 23andMe's DNA Relatives profiles, which lets people find and connect with genetic relatives. The other 1.4 million people affected by the breach used another service known as Family Tree, which predicts a family tree based on the DNA users share with relatives, 23andMe said. How much money could I get from the settlement? At the top end, 23andMe has said it would pay out up to $10,000 with an "Extraordinary Claim" to each customer who can verify that they suffered hardships as a direct result of their information being stolen in the data breach that resulted in unreimbursed costs. This includes costs from "identity fraud or falsified tax returns," acquiring physical security systems, or receiving mental health treatment. Residents of Alaska, California, Illinois and Oregon who were affected by the data breach can also apply for a payment as part of the proposed settlement, since those states have genetic privacy laws with damages provisions. The payments for these individuals are expected to be around $100, depending on how many people file for them, a settlement document said. Also, a smaller subset of affected users whose personal health information was impacted by the breach will be able to apply for a payment of $100. Infographic: Gianmarco Chumbe/CNET. Photo:Will the 23andMe settlement include anything else? Beyond those payments, 23andMe will also offer impacted users three years of a security monitoring service called Privacy Shield, which filings described as providing "substantial web and dark web monitoring." How can I file a claim for the 23andMe settlement? To file a claim electronically, you can use this official online portal from the Kroll Restructuring Administration. An additional online form is available if you would like proof of your claim sent to you. Potential claimants can also download and print out hard copies of the claim form and proof of claim form if they wish to submit them by mail. If you plan to use this method, send your forms to one of the addresses listed on the claims website. The deadline to make a claim is July 14. For more, you can read about how class-action lawsuits work.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store