A substantial settlement has been given the green light in a lawsuit involving Canadian clients of genetic testing company 23andMe who were impacted by a previous data breach. The approved settlement will allocate $3.25 million US to individuals in Canada affected by the breach, where hackers obtained access to customers’ data, including those in Canada, in 2023.
Sage Nematollahi, an attorney at Toronto’s KND Complex Litigation acting as class counsel, communicated via email that this resolution is a positive outcome for the affected Canadian customers. Last year, the U.S.-based 23andMe filed for Chapter 11 bankruptcy to address outstanding liabilities stemming from the 2023 data breach.
Following the bankruptcy filing, non-profit organization TTAM Research Institute acquired 23andMe’s assets for $305 million US. Nematollahi noted that this settlement is considered groundbreaking, marking the first time a Canadian class action claim has been resolved within a Chapter 11 insolvency process.
The settlement funds are accessible to any individual who was a 23andMe customer between May 1, 2023, and October 1, 2023, residing in Canada at the time of the breach, received notification of being affected, and did not opt out of the settlement. Claim submissions for compensation must be made by June 25, 2026, at 11:59 p.m. PT. Detailed instructions on how to submit a claim form can be found on the Canadian settlement website.
