Clorox Sues Cognizant Over $380M Cyberattack Loss
Clorox has filed a lawsuit against IT provider Cognizant following a 2023 cyber attack by the Scattered Spider hacking group. The incident resulted in significant damages, with Clorox seeking compensation. The hack, which occurred in 2023, caused a total of $380 million in damages. Of this amount, $50 million was attributed to remedial costs. Clorox alleges that Cognizant's staff failed to properly secure their network, allowing hackers to gain access by simply asking for employees' passwords. Shockingly, Cognizant's staff complied with these requests without adequate verification. This is not the first time Cognizant has faced such allegations. In 2023, the law firm KDV sued Cognizant over a similar cyber attack where the attacker attempted to obtain passwords by requesting employee account information. Clorox's lawsuit further claims that Cognizant's staff failed to de-activate certain accounts or properly restore data during the clean-up process. Clorox's lawsuit against Cognizant highlights the ongoing issue of cyber security breaches and the importance of robust password protection protocols. The case is ongoing, with Clorox seeking damages and improved security measures from Cognizant.
