Atomic Wallet's Parent Firm Seeks Dismissal of U.S. Class Action Over $100M Hack
Summary:
The Estonian company behind Atomic Wallet has requested a U.S. court to dismiss a class action lawsuit over a $100 million hack, asserting the suit should have been filed in Estonia. Claiming no U.S. ties, the firm emphasized its terms of service precludes liability for theft losses and limits user damages to $50. Atomic Wallet also stated that a legal duty regarding their wallet's security against hacks was never formally established. The lawsuit was initiated two months after a $100 million exploit reportedly affected 5,500 users, blamed on North Korean and Ukrainian hacker groups.
Atomic Wallet's parent company, operating out of Estonia, has lodged a request with an American court to discount an assembled lawsuit that seeks reparations following a cyber theft of $100 million. The company asserts the litigation should have been initiated in the country where they are headquartered. Presented to a District Court in Colorado on November 16th, the motion maintained that they do not have "U.S. ties" and insisted their software licence agreement specifies all disputes with the company must be submitted in Estonia. It was also emphasised that the claims of harm were sourced from a single user in Colorado. Furthermore, the enterprise stated that their terms of service were acquiesced by the supposed 5,500 affected users, explicitly excusing the company of responsibility for losses ensued from cyber theft, and putting a firm limit of user damages to $50, thus bolstering their motion to discard the legal action lodged against them. Atomic also contended that the claim of neglect lacks substantial legal grounds, since no legal obligation was officially established for the maintenance of Atomic Wallet's security against potential breaches. The company underscored that the court has repeatedly rejected similar accusations. The plaintiffs launched the legal action in August, two months subsequent to an exploit on Atomic Wallet that reportedly impacted up to 5,500 users, attributing the cyber incursion to North Korean and Ukrainian hacker groups.
Published At
11/20/2023 6:33:35 AM
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