Overview of the Cash app data breach:
- Who: A Texas woman has filed a class action lawsuit against Block Inc and Cash App.
- Why: The lawsuit alleges the companies were negligent and allowed a data breach that resulted in the leaking of consumers’ personal information.
- Where: The Cash App data breach was filed in federal court in California.
Cash App and its parent company were negligent in their data security measures, leading to a data breach in 2021 that leaked the information of 8.2 million Cash App Investing customers, according to a new report. class action.
Plaintiff Amanda Gordon filed the class action lawsuit against Block Inc and Cash App Investing LLC on Nov. 2 in federal court in California, alleging negligence and consumer law violations.
Cash App, which is owned by Block, is a mobile application that allows users to transfer money from one person to another. It also provides investment services that allow users to buy stocks and Bitcoins through its platform.
According to the lawsuit, due to Cash App and Block’s negligent security features, the companies failed to properly secure and protect app users‘ personally identifiable information (PII).
“Defendants’ negligence resulted in the exploitation and publication of Cash App users’ personal information,” the lawsuit says.
Cash App and Block should have known security systems were flawed, lawsuit says
The alleged failure to take reasonable steps to protect consumer information led to a data breach in December 2021 that resulted in the release of PII from 8.2 million current and former Cash App Investing customers, the lawsuit says.
Clients’ full names and brokerage account numbers, the value and holdings of brokerage portfolios, and trading activity were all exposed, Gordon says.
Cash App and Block should have known that their security measures, protocols, screening procedures and systems were flawed, according to the lawsuit.
“By and through the defendants’ negligence, they caused financial loss and adverse consequences and their negligence will continue to harm Class Members in the future,” the lawsuit alleges.
Gordon seeks to represent any current or former customers of the companies whose personal information was compromised in the breach.
Gordon is suing for negligence, violation of California consumer laws, fraud, negligent misrepresentation, breach of contract, invasion of privacy and breach of fiduciary duty.
She is seeking class action certification, an order requiring Cash App to hire a third-party security auditor and seek security improvements, damages, fees, costs, and a jury trial.
This is not the first class action lawsuit to be filed against Block and Cash App after the data breach. In August, the pair was hit by a class action alleging they failed to protect their customers’ information during a data breach in December 2021.
Was your data compromised in this Cash App breach? Let us know in the comments!
Plaintiff is represented by Robert S. Green, James Robert Noblin and Emrah M. Sumer of Green & Noblin PC, and William B. Federman and Joshua D. Wells of Federman & Sherwood.
The Cash App Class Action is Amanda Gordon v. Block Inc et al.Case No. 3:22-cv-06787-SK in the U.S. District Court for the Northern District of California.
Learn more about class actions and class action settlements: