Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
Rackspace class action lawsuit overview:
- Who: Consumers filed a class action lawsuit against Rackspace Technology Inc.
- Why: The complaint is in response to a December 2022 data breach Rackspace says exposed customer data and shut down its Hosted Exchange environment.
- Where: The Rackspace data breach affected consumers nationwide.
A recent data breach affecting email hosting provider Rackspace is a result of the company’s negligence, a new class action lawsuit alleges.
Rackspace confirmed last month that 27 customers’ data was exposed in a data breach it first acknowledged in early December of last year and since attributed to the Play ransomware group, TechCrunch reports.
The data breach reportedly affected Rackspace’s Hosted Exchange environment, which approximately 30,000 customers use, forcing the company to discontinue the service.
Hackers behind the data breach accessed PST files generally used for archiving and backing up emails, calendar events and contacts located in Exchange email inboxes and accounts, TechCrunch reports.
Meanwhile, Rackspace noticed the data breach after its Hosted Exchange environment experienced connectivity issues, according to a press release from Cole & Van Note, the law firm behind the Rackspace class action.
The data breach prevented “countless” Rackspace customers from accessing its email service. The company advised them to switch to the Microsoft 365 email platform, according to Cole & Van Note.
Rackspace customers advised to take steps to protect data possibly exposed in breach
Rackspace also advised customers to take “various steps” to protect and access their private data, although the company offered no “further customer assistance, according to Cole & Van Note.
“That Rackspace offered opaque updates for days, then admitted to a ransomware event without further customer assistance is outrageous,” says Cole & Van Note’s Scott Cole, principal attorney for the class action.
In the wake of the data breach, he received reports of “vulnerabilities in Rackspace’s hosting environment that go back over a year” in addition to an alleged “lack of backup protocols,” he says.
The plaintiffs seek monetary damages and for Rackspace to implement additional security protocols going forward to prevent future data breaches from occurring.
A consumer filed a similar class action lawsuit against JumpStart Games in January, arguing the company could have prevented a data breach against Neopets that exposed their private data.
Have you been impacted by the Rackspace data breach? Let us know in the comments.
The plaintiffs are represented by Scott Cole of Cole & Van Note.
The Rackspace class action lawsuit is Stephenson, et al. v. Rackspace Technology Inc., Case No. 5:22-cv-01296, in the U.S. District Court for the Western District of Texas.
Don’t Miss Out!
Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!
Read About More Class Action Lawsuits & Class Action Settlements:
4 thoughts onRackspace class action alleges company negligence caused data breach
Hi,
I would like to be part of the class action suit against Rackspace Technology as I have a big loss resulting from their negligence. Thanks.
Hello – YES Please allow me to be a part of this class action law suit!! Rackspace basically ruined my personal and professional life!! My business was gravely impacted by their negligence and personal engagements missed!! We are still suffering the aftermath!!
i would like to join rack space class action suit . I am a business which was gravely effected by this. Also been having issues with them since March of the previous year when connectivity and data issues became more prevalent.
Please add me thank you