2023 Mr. Cooper Data Breach Triggers Class Action Lawsuit Against Mortgage Company

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Mr. Cooper Group faces a proposed class action over an October 2023 mortgage cyberattack that potentially exposed the personal information of thousands of people.

Did you receive a data breach notice from Mr. Cooper? Let us know here.

The 43-page lawsuit says that the Texas-based mortgage servicer reportedly discovered on October 31 that it had been targeted by cybercriminals who gained access to the company’s “inadequately protected” servers and the highly confidential data stored therein. The suit relays that the information compromised in the breach included, at least, consumers’ full names, addresses, dates of birth and Social Security numbers.

The case argues that the “massive and preventable” Mr. Cooper data breach was a result of the company’s negligence in implementing reasonable cybersecurity protocols to protect the sensitive information in its care, which was allegedly stored “unprotected” in the targeted network. The complaint contends that Mr. Cooper Group could have prevented the incident by properly securing its servers and encrypting the data housed there.

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What’s more, although the company purportedly learned of the cyberattack in late October of this year, it did not inform victims of the breach until November 2, the filing states. Per the lawsuit, the notice letter emailed to victims failed to sufficiently explain how the incident occurred, where the exposed information exists today and what steps are being taken to safeguard stored data in the future.

“Thus, [the plaintiff] and Class Members are left to speculate as to where their [personally identifiable information] ended up, who has used it, and for what potentially nefarious purposes,” the suit charges.

As a result of the defendant’s alleged negligence, victims like the plaintiff, a Florida resident who received notice of the Mr. Cooper data breach on November 2, now face an ongoing threat of identity theft, fraud and other illegal misuse of their personal information, the complaint stresses.

The lawsuit looks to represent anyone in the United States whose private information was exposed to unauthorized third parties as a result of the data breach discovered by Mr. Cooper Group on October 31, 2023.

Did you receive a data breach notice from Mr. Cooper? Let us know here.