Progress Software Corp. hit with multiple lawsuits following data breach

Progress Software data breach class action lawsuits overview: 

• Who: Four consumers have filed class action lawsuits against Progress Software Corp. and, uniquely, Arietis Health LLC, Cadence Bank, the University of Missouri System and Flagstar Bank N.A. 
• Why: The consumers claim their entities failed to adequately safeguard and secure consumers’ data during data breaches that occurred following a cyberattack against Progress Software’s MOVEit file transfer software in May. 
• Where: The class action lawsuits were filed in Massachusetts federal court. 

Multiple class action lawsuits have been filed against Progress Software Corp. and other entities that were affected by data breaches that occurred as a result of a cyberattack against the company’s MOVEit file transfer software in May. 

The complaints — numbering four in total — target Progress Software and, individually, Arietis Health, Cadence Bank, the University of Missouri (UM) System and Flagstar Bank. 

In each case, consumers argue the entities failed to adequately safeguard and secure sensitive private information that they had collected and maintained. 

Individually, the data breaches affected nearly 800,000 consumers connected to Flagstar Bank, nearly 2 million connected to Arietis Health and an unspecified amount connected to Cadence Bank and the UM System. 

Consumers allegedly weren’t told fast enough about data breaches related to MOVEit hack

The complaints also each claim the entities took too long to disclose the data breaches to them, with Flagstar Bank, Arietis Health, Cadence Bank and the UM System accused of waiting more than four months, two months, three months and two months, respectively. 

The consumers claim Progress Software and their unique defendant are guilty of negligence, unjust enrichment and breach of implied contract and fiduciary duty. 

The plaintiffs are all demanding a jury trial and requesting declaratory and injunctive relief along with an award of punitive damages and actual, statutory, compensatory and nominal damages and/or statutory penalties for themselves and all class members. 

A similar class action lawsuit was filed against Progress Software, Pathward NA and Ipswitch Inc. last month over claims they failed to adequately safeguard consumers’ sensitive data prior to a May 2023 data breach connected to the MOVEit file transfer software hack. 

Were you affected by the cyber attack against Progress Software’s MOVEit file transfer software? Let us know in the comments.

The plaintiffs are each represented by Steven B. Rotman, James J. Pizzirusso, B. Annabelle Emuze and Steven M. Nathan of Hausfeld LLP. 

The Progress Software data breach class action lawsuits are Stewart, et al. v. Flagstar Bank NA, et al., Case No. 1:23-cv-13070; Swekoski, et al. v. Arietis Health LLC, et al., Case No. 1:23-cv-13077; Adams, et al. v. Cadence Bank, et al., Case No. 1:23-cv-13071; and Gregg, et al. v. The University of Missouri System, et al., Case No. 1:23-cv-13081, all in the U.S. District Court for the District of Massachusetts. 

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