Paychex Hit With Consumer’s Lawsuit Over 2024 Data Incident

Payroll and human-resources provider Paychex Inc. is a facing a lawsuit alleging it negligently failed to protect a consumer’s personal information that was exposed in a 2024 data breach and used to commit several acts of financial fraud.

Colleen Waterman alleged that Paychex breached its duties under common law, contract law, industry standards, and the Federal Trade Commission Act to implement reasonable and adequate data-security measures.

The suit comes 10 months after plaintiffs in a proposed federal class action against Paychex voluntarily dropped their lawsuit over the breach. The company said at the time that no settlement was involved.

Information ...