California is set to receive a $6 million settlement payment in the bankruptcy proceedings of DNA testing company 23andMe. This payment resolves the state's legal claims stemming from a 2023 data breach that exposed the genetic and personal information of 6.9 million customers, including over 855,000 Californians.
California Attorney General Rob Bonta announced the settlement on Monday, 19 October 2026. The state had previously attempted to block the $305 million sale of 23andMe assets to TTAM Research Institute, a non-profit controlled by 23andMe co-founder Anne Wojcicki. California argued that this bankruptcy sale violated the state's Genetic Information Privacy Act, stating that consumers had not given express consent for the sale.
Despite California's objections, a US bankruptcy judge ruled against the state's efforts to block the sale and later ruled that the state could not sue to recover money from the bankrupt company's successor. California subsequently lost an appeal over the sale in federal district court. The state has now agreed to drop further appeals as part of the $6 million settlement, according to court documents filed on Monday.
23andMe, which filed for bankruptcy in March 2025, also agreed to pay $46.75 million to victims of the 2023 data breach as part of its bankruptcy.