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California settles 23andMe bankruptcy dispute for $6.01 million while preserving deletion rights

California filed a $6.01 million bankruptcy stipulation with South San Francisco’s former 23andMe parent on October 19, resolving breach claims while leaving the successor research institute under state privacy law.

182 words · 1 min

Attorney General Rob Bonta announced a settlement on October 19 with Chrome Holding Co., the bankrupt corporate successor to South San Francisco genetic-testing firm 23andMe.

Under the joint stipulation filed in Eastern District of Missouri Bankruptcy Court, California receives an allowed claim of $6,010,000 payable within 10 calendar days of court approval, which the Attorney General may use in his sole discretion to fund consumer relief tied to the October 2023 data breach. [1][2]

In exchange, California will dismiss its San Francisco Superior Court enforcement action and its appeal of the $305 million bankruptcy asset sale to TTAM Research Institute, now operating as 23andMe Research Institute. Paragraph 9 of the stipulation bars the wind-down debtor from direct-to-consumer sales or collecting personal data for five years. [2][3]

Two details matter for customers whose genetic profiles or saliva samples were transferred. First, paragraph 10 of the stipulation explicitly excludes 23andMe Research Institute from the liability release, keeping it subject to California’s Genetic Information Privacy Act. Second, AG Bonta’s announcement provides step-by-step instructions for consumers to delete accounts and request sample destruction without compromising eligibility for restitution. [1][2]

Take it further

Follow California DOJ steps to delete 23andMe data For current or former 23andMe customers. Explains how to delete genetic data, revoke research consent and request destruction of stored saliva samples.

Sources & details 3 sources
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Reporting sources

  1. California Attorney General · October 19 settlement and deletion guide

    Official announcement and step-by-step instructions for deleting genetic data and destroying biological samples.

  2. Filed Joint Stipulation · In re Chrome Holding Co.

    Case 25-40976, Doc 2760, filed October 19, 2026. Paragraphs 2–3 set the $6,010,000 payment; paragraph 9 sets the 5-year wind-down bar; paragraph 10 carves out 23andMe Research Institute.

  3. Reuters · California $6 million 23andMe settlement

    Independent October 19 wire report corroborating the bankruptcy settlement and dropped sale appeal.

Images & figures

  • Stipulated $6.01M claim and five-year wind-down restriction; subject to Bankruptcy Court approval.

    Euangelion · original data figure · Source · CC BY 4.0 · Download figure