Tech conglomerate Fortive Corp. has agreed to a $3 million settlement to resolve a sweeping class action after two ransomware attacks in 2023 exposed the personal data of more than 34,000 individuals, according to a Washington federal judge’s preliminary approval.

U.S. District Judge Richard A. Jones, presiding in Seattle, signed off Thursday on the deal that provides meaningful compensation and protections for victims whose sensitive information fell into the hands of hackers.

What Victims Will Receive

Each member of the 34,166-person class could claim up to $5,000 for financial damages and an additional $80 for time spent securing their accounts. They will also be granted three years of free credit monitoring and at least $1 million in identity theft insurance.

Lead plaintiffs are set to receive $3,500 each, while attorneys for the class will collect one-third of the settlement fund. Any leftover money will be split evenly between the Electronic Privacy Information Center and the Boys and Girls Club of Snohomish.

A final approval hearing is scheduled for January 9, after class members have the chance to object or opt out.

Breach Details and Allegations

The class action stems from two cyberattacks in 2023 that compromised names, Social Security numbers, dates of birth, addresses, phone numbers, and even financial details of employees and customers.

Plaintiffs accused Fortive of weak cybersecurity defenses, alleging that data was stored unencrypted in an internet-accessible environment and that the company failed to train employees or monitor third-party partners.

Even worse, plaintiffs said Fortive waited over 18 months to notify victims, and when it did, the company’s letters allegedly obscured the scale and nature of the breach.

Fortive Pushes Back

Fortive has denied wrongdoing, stressing that it takes data protection seriously but chose settlement to avoid the expense of drawn-out litigation.

Earlier in the case, the Everett, Washington-based firm argued that plaintiffs could not prove tangible harm. Victims, however, insisted they faced an ongoing risk of fraud and identity theft that forced them to monitor their finances and credit.

Legal Teams

The plaintiffs are represented by:

• Samuel J. Strauss of Strauss Borrelli PLLC

• J. Gerard Stranch IV of Stranch Jennings & Garvey PLLC

• Lynn A. Toops of Cohen & Malad LLP

• Marc H. Edelson of Edelson Lechtzin LLP

Fortive and its affiliates are represented by:

• Peter Loh, Ana Sofia Batista, Joseph W. Swanson of Foley & Lardner LLP

• Blake Marks-Dias, Todd T. Williams of Corr Cronin LLP

Neither side has issued further comment since the approval.