Class action accuses Arena Technical Resources of negligence in data breach


Margo Brodie, Chief Judge with the U.S. District Court for the Eastern District of New York | Administrative Office of the United States Courts | Wikipedia Commons

A class action lawsuit has been filed against Arena Technical Resources, LLC, accusing the company of mishandling sensitive personal information that led to a data breach. Juliette Ugarte filed the complaint on January 23, 2025, in the United States District Court for the Eastern District of New York. 

The lawsuit alleges that the company failed to protect personally identifiable information (PII), including Social Security numbers, resulting in unauthorized access by cybercriminals.

The breach occurred on December 10, 2024, when unauthorized access to files containing personal data of current and former employees of Arena Technical Resources' clients was discovered. 

Ugarte claims the company did not implement reasonable security measures to protect this data from cyberattacks, leading to the theft of sensitive information. 

The plaintiff argues that Arena Technical Resources’ negligence violated both contractual and statutory obligations to safeguard PII.

The complaint further states that the company breached industry standards and failed to notify affected individuals promptly, limiting their ability to take protective measures against identity theft. 

"Defendant breached these duties owed to Plaintiff and Class Members by failing to safeguard their private information," the lawsuit states.

Ugarte and other plaintiffs are seeking damages for negligence, invasion of privacy, and unjust enrichment, among other claims related to inadequate data security practices. They are also requesting equitable relief, including a full disclosure of the breach and the implementation of robust data security measures. 

Additionally, they seek lifetime identity theft protection services for all affected individuals at the company's expense.

The case is being heard under Case ID 2:25-cv-00400-JMA-AYS. 

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