California settles with 23andMe's successor for $6.01M over the 2023 breach and the sale of genetic data in bankruptcy; residents can still demand deletion
California Attorney General Rob Bonta announced on Oct 19 a settlement with Chrome Holding Co., formerly 23andMe, filed in the US Bankruptcy Court for the Eastern District of Missouri and pending court approval.
- Amount: a lump sum of $6,010,000 within 10 days of court approval. It can fund consumer relief for the 2023 breach, with any unused money going to California's consumer-protection enforcement fund.
- Resolves: California's state-court suit alleging unreasonable security and misleading statements that led to the 2023 breach, and its appeal over the sale of Californians' genetic data and samples without their affirmative consent.
- Still in force: under the Genetic Information Privacy Act, consumers can ask the buyer, 23andMe Research Institute, to delete their data, destroy their sample or withdraw research consent.
The 2023 credential-stuffing breach exposed data on about 6.9 million people (per Reuters).
Sources: California AG: Bonta Secures $6 Million Settlement in 23andMe Litigation (Oct 19) · Joint stipulation (bankruptcy court filing) · Reuters via Investing.com (Oct 19)