Breach, Data Security

Ashley Madison agrees to $11.2M settlement for 2015 data breach


Ruby Corp. and Ruby Life, the parent organizations behind the adult dating website Ashley Madison, have agreed to an $11.2 million settlement with its customers who had their private information released during a 2015 data breach.

If upheld by the court, the settlement will close a class action suit brought against Ashley Madison in July 2015. The suit claimed the company used inadequate data security practices and made misrepresentations regarding Ashley Madison's cybersecurity capabilities, according to a statement released by the legal firms representing the plaintiffs.

The money will be placed into a settlement fund from which the suit's class members can draw a payment after submitting proof for any losses incurred by the breach.

The breach exposed the data of 36 million Ashley Madison members, but the settlement agreement allows Ashley Madison to deny any wrongdoing, the statement said.

The company previously paid out $1.65 million to settle federal and state charges alleging that it both deceived users and did not adequately protect their PII, according to a release from the Federal Trade Commission.

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