A coalition of attorneys general from 27 states and the District of Columbia has filed a lawsuit against 23andMe.
The litigation is aiming to halt the bankrupt company’s efforts to sell sensitive genetic data from millions of customers to a third party.
The case, filed in the U.S. Bankruptcy Court for the Eastern District of Missouri, raises urgent privacy concerns over the sale of data without explicit individual consent.
“This exclusively personal data carries with it significant, sensitive information about others who share DNA and/or familial relationships,” the complaint states. “The magnitude of the data in this proposed sale stretches far beyond the 23andMe consumers.”
A Timeline Since 23andMe’s Collapse
23andMe filed for Chapter 11 bankruptcy in March 2025, triggering a scramble over the fate of the company’s vast genetic database. In April, the company reassured customers and bidders that any buyer would be required to uphold its privacy standards.
In May, Regeneron Pharmaceuticals (NASDAQ: REGN) emerged as the top bidder for 23andMe’s assets in a court-supervised auction. However, earlier in June, former CEO Anne Wojcicki returned with a higher counteroffer, prompting the court to consider a second auction. This revived interest has also reignited scrutiny from regulators and privacy advocates.
