In­fi­delity site’s $11.2M suit payout OK’d

Northwest Arkansas Democrat-Gazette - - BUSINESS & FARM -

ST. LOUIS — A fed­eral judge on Fri­day ap­proved an $11.2 mil­lion set­tle­ment be­tween the mar­i­tal in­fi­delity web­site Ashley Madison and users who sued af­ter hack­ers re­leased per­sonal in­for­ma­tion, in­clud­ing users’ fi­nan­cial data and de­tails of their sex­ual pro­cliv­i­ties.

U.S. District Judge John Ross in St. Louis gave pre­lim­i­nary ap­proval to a set­tle­ment that was an­nounced last week by Toronto-based Ruby Corp., the par­ent com­pany of Ashley Madison. Sev­eral law­suits were con­sol­i­dated in the Eastern District of Mis­souri.

A fi­nal-ap­proval hear­ing is sched­uled for Nov. 20.

The law­suits were filed af­ter hack­ers outed mil­lions of peo­ple who used the web­site. The suits said Ashley Madison mis­led con­sumers about its se­cu­rity mea­sures and safe­guards.

The com­pany de­nied wrong­do­ing but said in a state­ment that it set­tled to “avoid the un­cer­tainty, ex­pense, and in­con­ve­nience associated with con­tin­ued lit­i­ga­tion.”

Ashley Madison is mar­keted to peo­ple seek­ing ex­tra­mar­i­tal re­la­tion­ships. Its slo­gan is, “Life is short. Have an af­fair.” At one time, it pur­ported to have about 39 mil­lion mem­bers.

Hack­ers broke into Ashley Madison’s sys­tems in July 2015 and posted the de­tails a month later af­ter the com­pany didn’t com­ply with their de­mands to shut down.

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