A substantial settlement has been given the green light in a class action lawsuit involving Canadian clients of the genetic testing firm 23andMe who were impacted by a previous data security breach. The settlement, totaling $3.25 million US, will be allocated to victims in Canada affected by the breach where hackers accessed customers’ data, including individuals in Canada, in 2023.
Sage Nematollahi, an attorney at Toronto’s KND Complex Litigation acting as class counsel, expressed satisfaction with the resolution, stating it was a positive outcome for the impacted Canadian clients. Last year, the U.S.-based company 23andMe filed for Chapter 11 bankruptcy, citing intentions to address outstanding liabilities stemming from the 2023 data breach through the bankruptcy process.
Following this, the non-profit TTAM Research Institute acquired 23andMe’s assets for $305 million US. Nematollahi highlighted that this settlement is considered groundbreaking, being the first instance of a Canadian class action claim being resolved within a Chapter 11 insolvency procedure.
The settlement funds are accessible to any individual who was a 23andMe customer between May 1, 2023, and Oct. 1, 2023, residing in Canada during the breach, receiving notification of being affected, and not opting out of the settlement. Victims seeking compensation must submit their claims by June 25, 2026, 11:59 p.m. PT. Detailed instructions on how to file a claim can be found on the Canadian settlement website.