Yahoo Facing Gross Negligence Lawsuit Following Hack of 500M Users

Yahoo Sunnyvale - H 2015
Courtesy of Yahoo!

Yahoo Sunnyvale - H 2015

Yahoo Inc. is facing a gross negligence lawsuit from a user following the company's announcement detailing the information that was stolen from 500 million accounts in a 2014 hack, according to Reuters.

Ronald Schwartz filed the suit on Friday in California federal court "on behalf of all Yahoo users in the United States whose personal information was compromised," Reuters reports. 

The tech giant revealed details of the hack in a Thursday morning announcement, saying it believes it was a “state-sponsored” attack and may have compromised not only names and email addresses but also birth dates, phone numbers and passwords. The hack was first made public in August when a hacker named "Peace" tried to sell the information online. 

Yahoo said it is working with law enforcement and suggested any user who hasn’t changed his or her password since 2014 should do so. 

A Yahoo spokesman tells The Hollywood Reporter the company does not comment on ongoing litigation. 

Verizon, which is currently in the process of acquiring Yahoo for $4.8 billion, also declined to comment.