Crystal Bay Casino Facing Class Action Over Data Breach Affecting 86K People

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A proposed class action lawsuit claims Crystal Bay Casino failed to protect the personal information of more than 86,000 people during a November 2022 data breach.

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The 27-page lawsuit says that after noticing unusual activity on its data servers, the Lake Tahoe-area casino purportedly discovered that its systems had been accessed by unauthorized third-party hackers on November 27. The suit relays that the personal information of around 86,291 employees and Player’s Club members was compromised in the breach, including, but not limited to, names, driver’s license numbers and Social Security Numbers.

As the case tells it, the cyberattack was a direct result of Crystal Bay Casino’s failure to implement adequate data security measures to safeguard the private information stored in its servers.

By obtaining and storing the personal data of employees and customers enrolled in the Player’s Club membership rewards program, the casino had a legal obligation to protect the information against unauthorized disclosure, the complaint charges.

In addition, the filing contends that the defendant “unreasonably delayed” notifying victims of the breach. Although the casino purports to have detected the hack in November 2022, it did not begin to send notices to those impacted until late February of this year, the lawsuit relays.

“[Crystal Bay Casino] has provided no reason or justification as to why it delayed in notifying [victims] for almost three months after it became apparent that its data systems had been breached,” the suit reads.

One plaintiff, a Nevada resident and former Crystal Bay Casino employee and customer, provided his personal information to the defendant as part of his employment and Player’s Club membership, the case says. The man received notice of the data breach on February 24 and learned that his name, driver’s license number and Social Security number had been compromised, the complaint explains.

Per the filing, a second Nevada plaintiff similarly entrusted her private data to the defendant as part of her Player’s Club membership. The woman also received the February notice that her sensitive information had been exposed to unauthorized third parties, the suit states.

Like other victims, the plaintiffs now face an increased and ongoing risk of identity theft, fraud and other illegal schemes as a result of the casino’s conduct, the case charges.

The lawsuit looks to represent anyone in the United States who received a notice informing them that their personal information had been compromised as a result of the data breach announced by Crystal Bay Casino, LLC.

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