Summary:
- Five class-action lawsuits were filed in Nevada.
- The casinos are accused of failing to protect personal information.
- The lawsuits represent plaintiffs from several different states.
It got worse after it appeared the coast was clear, and MGM and Caesars were done dealing with the recent cyberattack. Both companies have now been named in several lawsuits for failing to protect customer data when hackers could get into their systems.
New Lawsuits Filed
News surfaced this week that five class-action lawsuits were filed in Nevada District Court against the two companies, stating both failed to protect the personal information of their loyalty program members. Data was compromised during two different attacks against MGM and Caesars.
Four lawsuits were filed by Stranch, Jennings, and Garvey PLLC and Kopelowitz Ostrow Ferguson Weiselberg Gilbert. Two were filed against MGM and two against Caesars. A fifth lawsuit was filed by O’Mara Law Firm and Barnow and Associates against Caesars.
The law firms represent plaintiffs from across the United States, as players from all over the country were affected. The law firms have not commented or responded to requests for comment from the media. Both gaming companies have also yet to comment.
Lawsuit Claims
In the newly filed lawsuits, the plaintiffs state that the gaming companies knew the importance of safeguarding the player’s personal information that it held. MGM and Caesars are accused of not complying with Federal Trade Commission guidelines and overall industry standards when it comes to data protection.
Those affected and part of the lawsuit claim that they are now more vulnerable to theft. The filings include players of both brands from various states, with some being long-time members of the company’s loyalty programs.
It is unclear if the companies actually broke any federal laws, as most casino operators have protections in place to avoid hacking issues. However, hackers are becoming more sophisticated in their attacks, leading to security system breaches and the acquisition of information, even the most protected data. We expect both companies will fight this claim and have systems to back up their defense.
Back to Normal
While the attack shut down MGM for several days, both companies are now operational. MGM now has its computer systems back up and running, including email and websites. Players were ready to get back to the properties in Las Vegas, with the Bellagio and Mandalay Bay seeing long lines at check-in yesterday.
Hotel reservations had been an issue as travelers were unable to log in online to make reservations. The attack also caused a problem with digital room keys, and hotels had to revert back to manual operations for a bit. Paid parking was also suffering from downtime but appears to be in working order. Slot games are also back in action, so players shouldn’t have to worry about games not working.
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