Home Security MGM Resorts Resolves Legal Disputes Following the Theft of Millions of Customer Records in Data Breaches

MGM Resorts Resolves Legal Disputes Following the Theft of Millions of Customer Records in Data Breaches

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MGM Resorts, a prominent hotel and casino operator, has reached a $45 million settlement to resolve over a dozen class action lawsuits following the theft of personal data from millions of customers during two distinct cyberattacks.

On January 21, MGM announced the settlement, as noted in a recent court document, with The Record being the first to report on it. A federal court in Las Vegas is set to make a decision on the settlement on June 18.

This settlement follows two previously disclosed data breaches at MGM Resorts that occurred in 2019 and 2023.

In 2019, hackers compromised MGM’s systems, leading to the theft of millions of customer names, home addresses, phone numbers, and other personal details. The company acknowledged the breach in 2020 after significant portions of the stolen data were leaked on a recognized cybercrime forum.

The ransomware attack in 2023 impacted MGM’s systems, resulting in prolonged outages and service disruptions at various locations along the Las Vegas Strip, including the Bellagio, Aria, and Cosmopolitan. This breach led to the theft of personal information, including Social Security numbers and passport details, costing MGM over $100 million in damages.

According to the lawyers representing the class action participants, these two data breaches impacted more than 37 million customers at MGM Resorts. MGM has consistently refrained from disclosing the total number of individuals affected, and spokesperson Brian Ahern did not provide a response to TechCrunch’s inquiry.

Approximately 30% of the $45 million settlement will be allocated for attorney fees, with affected individuals potentially receiving up to $75 each, depending on the specific types of information that were compromised in the attacks.

Compiled by Techarena.au.
Fanpage: TechArena.au
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