Enzo Biochem Security Incident

The life sciences and diagnostics firm Enzo Biochem based in Farmingdale, NY has consented to pay $7.5 million to resolve a combined class action lawsuit associated with a ransomware attack and data security breach in 2023. Hackers accessed its system and encrypted files using ransomware on April 6, 2024. As per regulatory filings, Enzo Biochem discovered on April 11, 2023, unauthorized access to its database of clinical test data involving 2,470,000 persons. The breached information included names and clinical test data, though the Social Security numbers of around one-fourth of the affected people, or about 600,000 were also compromised during the attack. A few class action lawsuits were filed because of the data breach claiming that Enzo Biochem was negligent in not implementing reasonable and proper safety measures to secure the sensitive personal data and health information it received and kept. Hackers took advantage of those security problems and stole highly sensitive information. The lawsuits were combined into one action in the United States District Court for the Eastern District of New York. Enzo Biochem did not admit wrongdoing or liability but agreed to resolve the class action lawsuit. The terms of settlement state that class members are eligible to file claims for refund of documented, losses and out-of-pocket costs reasonably connected to the data breach as much as $10,000. Class members may instead opt for a cash payment, a part of the $7.5 million settlement fund after deducting lawyers service fees, legal costs and expenditures, claims, and class representative awards. Enzo Biochem will also provide class members with free credit monitoring and insurance services for two years. Aside from the financial penalty, the firm is required to implement some security measures including implementing multifactor authentication, updating its password guidelines, encrypting consumers personal data, and putting in place attack detectors and prevention...

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