Five class action lawsuits have been filed against MGM Resorts (NYSE:MGM) International and Caesars (NASDAQ:CZR) Entertainment, alleging the companies' failure to protect customers from cyberattacks in September. The lawsuits, filed by two Las Vegas law firms, suggest that the companies put their customers at risk of identity theft by not properly safeguarding their personal information.
On Thursday, four lawsuits were launched — two against MGM Resorts and two against Caesars. These suits were filed on behalf of individual customers — Tonya Owens (MGM), Emily Kirwan (MGM), Paul Garcia (Caesars), and Alexis Giuffre (Caesars) — and are seeking class action status. The law firms behind these suits are Stranch, Jennings & Garvey, PLLC, and Kopelowitz Ostrow Ferguson Weiselberg Gilbert.
The lawsuits allege that the companies did not adequately disclose the breaches, leaving customers unaware of potential future vulnerabilities related to the theft of their personal information. It is believed by victims that their data has been sold on the dark web. The suits highlight that personal identifiable information (PII) retains high value among criminals, with prices ranging from $40 to $200 for stolen identity credentials on the dark web.
A fifth lawsuit was filed against Caesars Entertainment on Friday by The O’Mara Law Firm, P.C, of Reno, and Barnow and Associates, P.C., of Chicago. This lawsuit represents Thomas McNicholas and Laura McNicholas, an Illinois couple who have been members of the Caesars Rewards Program for over 20 years. This suit alleges a breach of contract with every customer whose personal data was stolen in the breach.
All five lawsuits demand monetary damages for victims — actual, statutory and punitive damages, as well as restitution. They also seek any profits the companies obtained through using the compromised data and assurances that such breaches will not occur again. The lawsuits allege negligence, breach of contract, and unjust enrichment, and all are seeking a jury trial.
In addition to these five lawsuits, a sixth similar suit was brought against both MGM Resorts International and Caesars Entertainment in the New Jersey district court on September 18. MGM Resorts International has not commented on the filings.
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