{"id":3961,"date":"2026-07-23T20:37:50","date_gmt":"2026-07-23T20:37:50","guid":{"rendered":"https:\/\/americanmovershub.com\/?p=3961"},"modified":"2026-07-23T20:37:50","modified_gmt":"2026-07-23T20:37:50","slug":"utah-40-other-states-reach-18m-settlement-with-23andme-after-data-breach-bankruptcy","status":"publish","type":"post","link":"https:\/\/americanmovershub.com\/?p=3961","title":{"rendered":"Utah, 40 other states reach $18M settlement with 23andMe after data breach, bankruptcy"},"content":{"rendered":"
\n

Utah and over 40 other states on Wednesday announced a $18 million settlement agreement with genetic information company 23andMe after the company filed for bankruptcy in March 2025.<\/p>\n

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The bankruptcy filing came after the company struggled with the fallout of a data breach and weak demand for its ancestry testing kits.<\/p>\n

The five-month data breach in 2023 exposed the personal data of nearly 7 million 23andMe customers. The compromised information included sensitive details regarding users\u2019 identities, ancestry, and genetic profiles.<\/p>\n

The saga dealt a blow to 23andMe\u2019s reputation, and the company laid off 200 employees and stopped development of all therapies late last year.<\/p>\n

Through the settlement, Utah will receive a $461,688 chunk of the $18 million.<\/p>\n

Additionally, Utahns affected by the breach will be compensated separately through a $46.75 million class-action settlement in the bankruptcy case, which provides relief to U.S. consumers who submitted claims by Feb. 17, 2026.<\/p>\n

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\u201cThis settlement sends a clear message: companies that collect sensitive genetic and personal data must uphold the highest standards of privacy and security,\u201d Utah Attorney General Derek Brown said in a statement. \u201cWe will continue to hold organizations accountable and protect our residents from the misuse of their most personal information.\u201d<\/p>\n

According to a release from the Utah Attorney General\u2019s office, \u201cmalicious actors\u201d posted lists of user data for sale, reportedly targeting users of Ashkenazi Jewish and Chinese descent. This ended up prompting a bipartisan investigation into whether 23andMe violated state data privacy, consumer protection, and genetic information privacy laws.<\/p>\n

\u201cHolding 23andMe accountable is critical to ensure that companies know they have a responsibility to the consumer, to protect the personal information they receive when people use their services,\u201d Margaret Busse, commissioner of the Utah Department of Commerce, said in a statement. \u201c23andMe failed its customers \u2014 it did not do enough to protect them and their most sensitive, private information. This breach of trust is unacceptable.\u201d<\/p>\n

The funds from the settlement will be used to \u201cfurther protect consumers and address the ramifications of the data breach,\u201d according to the release.<\/p>\n

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Utah and over 40 other states on Wednesday announced a $18 million settlement agreement with genetic information company 23andMe after the company filed for bankruptcy in March 2025. <\/p>\n","protected":false},"author":1,"featured_media":3960,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":["post-3961","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"yoast_head":"\nUtah, 40 other states reach $18M settlement with 23andMe after data breach, bankruptcy - American Movers Hub<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/americanmovershub.com\/?p=3961\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Utah, 40 other states reach $18M settlement with 23andMe after data breach, bankruptcy - 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