MGM Resorts Faces Class Action Lawsuit After Cyberattack

18.06.2024

MGM Resorts is now confronting a class action lawsuit, filed by THE702FIRM Injury Attorneys, following a significant cyberattack in September. The lawsuit alleges that MGM’s failure to protect personal data has resulted in serious harm to members of its loyalty program.

Cyberattack Details and Impact

The September incident, orchestrated by the hacker group BlackCat, compromised MGM’s systems, leading to the theft of sensitive customer information.

The attack caused extensive outages across several properties and inflicted a $100 million loss on the company’s Q3 EBITDA. The stolen data included names, contact information, dates of birth, genders, and driver’s license numbers, along with some social security and passport numbers.

The class action lawsuit asserts that MGM’s negligence and inadequate oversight were to blame for the data breach. The plaintiffs argue that MGM’s lapses have resulted in a severe loss of privacy and emotional distress for affected customers.

Additionally, these customers now need to adopt extra security measures to mitigate identity theft risks.

Legal Demands

The lawsuit demands compensatory damages, reimbursement of out-of-pocket expenses, injunctive relief, and attorneys’ fees. It also highlights that affected customers may need to invest in lifetime identity theft protection and credit monitoring services due to the breach.

This latest lawsuit adds to MGM’s mounting legal troubles, as the company is already facing three other class action suits related to the same incident.

One such lawsuit, filed in February by Kemp Jones LLP, also alleges negligence, linking the breach to subsequent cases of identity theft.