23andMe’s Proposed Bankruptcy Sale Prompts States’ Challenge (1)

Multiple states sued bankrupt 23andMe over its proposed sale of vast amounts of customer genetic data, arguing the transfers violate state laws and require consumers’ explicit consent.

New lawsuits and objections were filed Monday by Texas, California, and a group of 29 states and Washington, D.C. The filings come as the company weighs competing bids for its genetic data from Regeneron Pharmaceuticals and a group led by the company’s former CEO, Anne Wojcicki.

23andMe Holding Co. is preparing to hold a second auction for its cache of DNA data with an opening bid of $305 million from Wojcicki and TTAM ...