MGM to Pay $45 Million in Data-Breach Lawsuit Settlement
A $45 million settlement in a consolidated class-action lawsuit against MGM Resorts has received preliminary approval from a federal court. The lawsuit stemmed from a data breach that occurred in 2019, affecting personal information of hotel guests, employees, and other individuals associated with the company.
The settlement terms include a $45 million fund to provide payments to those affected by the breach. Additionally, MGM Resorts has agreed to enhance its data security measures to prevent future incidents. The company will also offer two years of credit monitoring and identity protection services to individuals impacted by the breach.
“We take the security of our guests’ and employees’ personal information very seriously,” said an MGM Resorts spokesperson. “While we deny any liability for the data breach, we believe that this settlement is in the best interest of all parties involved.”
The data breach at MGM Resorts occurred when unauthorized individuals gained access to a cloud server that contained personal information such as names, addresses, phone numbers, and email addresses. The company became aware of the breach in 2019 and promptly notified affected individuals and law enforcement agencies.
The class-action lawsuit alleged that MGM Resorts failed to take adequate measures to protect the personal information of those affected by the breach. The settlement agreement aims to compensate individuals for any damages or losses they may have suffered as a result of the data breach.
Individuals covered by the settlement will receive notification of their eligibility for compensation and will have the opportunity to submit a claim to receive payment from the settlement fund. The court is expected to hold a final approval hearing to review the settlement terms and determine if they are fair and reasonable.
“We are pleased to have reached a settlement in this matter and believe that it provides fair and appropriate compensation to those affected by the data breach,” said a representative for the plaintiffs in the class-action lawsuit. “We will continue to work with MGM Resorts to ensure that appropriate measures are in place to protect the personal information of individuals associated with the company.”
Overall, the $45 million settlement in the class-action lawsuit against MGM Resorts represents an important step in addressing the consequences of the data breach. By providing compensation to affected individuals and implementing enhanced data security measures, MGM Resorts aims to prevent similar incidents in the future and protect the personal information of its guests, employees, and other individuals associated with the company.
