Black Friday Sale! 50% Off All Access

Ashley Madison Hit With Another Lawsuit Following Hack This comes in the wake of a class-action suit filed against its parent company Avid Life Media in Canada last week.

By Reuters

This story originally appeared on Reuters

Shutterstock | Enhanced by Entrepreneur

Infidelity website Ashley Madison and its parent company have been sued in federal court in California by a man who claims that the companies failed to adequately protect clients' personal and financial information from theft, saying he suffered emotional distress.

The lawsuit, filed in U.S. District Court in Los Angeles by a man identified as John Doe, seeks class-action status.

The lawsuit accuses Ashley Madison and parent company Avid Life Media Inc, which is based in Toronto, of negligence and invasion of privacy, as well as causing emotional distress.

The lawsuit seeks unspecified damages.

The lawsuit follows a breach of the Ashley Madison website by a group called the Impact Team, which downloaded "highly sensitive personal, financial, and identifying information of the website's some 37 million users," the lawsuit said.

The hacker group threatened to release information if the site was not shut down, and in August, when the site had not been shut down, published "stolen personal information," the suit said.

The data, which was dumped online, included millions of email addresses for U.S. government officials, UK civil servants and high-level executives at European and North America corporations.

The lawsuit claims that the data breach could have been prevented if the company had taken "necessary and reasonable precautions to protect its users' information, by, for example, encrypting the data."

The lawsuit says that in addition to making "extremely personal and embarrassing information ... accessible to the public," the data breach made personal details such as addresses, phone numbers and credit card information available on the web.

Avid Life Media could not be reached immediately for a comment outside regular business hours.

Avid Life Media was sued in Canada last week in a class-action suit that seeks some $760 million in damages.

The case is filed in the U.S. District Court, Central District of California No. 15-cv-06405.

(Reporting by Rishika Sadam in Bangalore; Editing by Leslie Adler)

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Living

These Are the 'Wealthiest and Safest' Places to Retire in the U.S. None of Them Are in Florida — and 2 States Swept the List.

More than 338,000 U.S. residents retired to a new home in 2023 — a 44% increase year over year.

Business News

DOGE Leaders Elon Musk and Vivek Ramaswamy Say Mandating In-Person Work Would Make 'a Wave' of Federal Employees Quit

The two published an op-ed outlining their goals for their new department, including workforce reductions.

Starting a Business

This Sommelier's 'Laughable' Idea Is Disrupting the $385 Billion Wine Industry

Kristin Olszewski, founder of Nomadica, is bringing premium wine to aluminum cans, and major retailers are taking note.

Business News

These Are the Highest Paying Jobs Available Without a College Degree, According to a New Report

The median salaries for these positions go up to $102,420 per year.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Starting a Business

He Started a Business That Surpassed $100 Million in Under 3 Years: 'Consistent Revenue Right Out of the Gate'

Ryan Close, founder and CEO of Bartesian, had run a few small businesses on the side — but none of them excited him as much as the idea for a home cocktail machine.