Netgain Loses Bid to Escape Class Action Over Ransomware Attack

Netgain Technology LLC will still have to face a lawsuit over a 2020 ransomware attack that compromised the personal identifying information and medical data of its clients, after a federal judge in Minnesota only partially granted Netgain’s motion to dismiss.

Plaintiffs brought four separate class actions against Netgain, a third-party cloud hosting company, alleging that the breach compromised their full names, social security numbers, dates of birth, driver’s license numbers, medical information, and financial data. The suits were later consolidated.

Netgain argued that plaintiffs don’t have standing to bring their claims because they didn’t suffer a concrete injury that was ...