Summary
The Judicial Panel on Multidistrict Litigation orders centralization of 32 actions involving the PowerSchool customer data security breach, along with related actions, in the Southern District of California under MDL No. 3149. The Panel finds common factual and legal issues concerning the breach, data-security practices, notifications, and claims for negligence, breach of contract, and unjust enrichment. The actions are assigned to Judge Roger T. Benitez for coordinated or consolidated pretrial proceedings.
Topics
Practice areas
Questions Presented
- Whether the actions involve common questions of fact warranting centralization under 28 U.S.C. § 1407.
- Whether centralization will serve the convenience of the parties and witnesses and promote the just and efficient conduct of the litigation.
- Which federal district should serve as the transferee district for coordinated or consolidated pretrial proceedings.
Holdings
- The actions listed on Schedule A involve common questions of fact, and centralization will serve the convenience of the parties and witnesses and promote the just and efficient conduct of the litigation.
- Informal coordination was not the most efficient method for resolving the litigation.
- The Southern District of California is an appropriate transferee district for the litigation.
Key quotations
“On the basis of the papers filed and the hearing session held, we find that the actions listed on Schedule A involve common questions of fact, and that centralization in the Southern District of California will serve the convenience of the parties and witnesses and promote the just and efficient conduct of this litigation.” (at 1)
“IT IS THEREFORE ORDERED that actions listed on Schedule A are transferred to the Southern District of California and, with the consent of that court, assigned to the Honorable Roger T. Benitez for coordinated or consolidated pretrial proceedings.” (at 3)
Factual background
The actions arise from a cybersecurity incident involving unauthorized access to PowerSchool's Student Information System, which schools use to store personal information concerning current and former students and staff. Plaintiffs include students, students' guardians, and school staff seeking overlapping nationwide and statewide class actions. The cases assert virtually identical claims for negligence, breach of contract, and unjust enrichment, and discovery will concern the breach, PowerSchool's data-security practices, and its notice to affected individuals.
Procedural history
The Panel considered the centralization motion on the papers filed and at a hearing session. It found common factual questions and ordered the actions listed on Schedule A transferred to the Southern District of California, with that court's consent, for coordinated or consolidated pretrial proceedings before Judge Roger T. Benitez.
Remand instructions
The actions listed on Schedule A are transferred to the Southern District of California and, with that court's consent, assigned to the Honorable Roger T. Benitez for coordinated or consolidated pretrial proceedings.