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1Repair Windows errors before they cause bigger problems2Scan for outdated or missing drivers - takes under a minute3Clear out junk files and repair common Windows errorsAMCA filed for Chapter 11 bankruptcy protection on June 17, 2019, after a breach exposed sensitive information and the resulting notification and remediation costs and litigation fallout weighed on the company. The filing was not the final chapter: AMCA later obtained permission to settle with a multistate coalition and sought to dismiss its bankruptcy case in December 2020.
When did the breach happen, and when did AMCA file for bankruptcy?
The breach preceded the bankruptcy filing. A federal multidistrict litigation opinion says AMCA first learned of the breach on March 20, 2019, and records that the company filed for Chapter 11 on June 17, 2019, in the U.S. Bankruptcy Court for the Southern District of New York. The opinion describes the breach litigation fallout as prompting the filing. Federal multidistrict litigation opinion
A New York state court opinion describes the alleged period of unauthorized access as August 2018 through March 2019. That timeframe is an allegation described in that proceeding, not a finding that every detail was proven. New York state court opinion
Michigan’s attorney general attributed the bankruptcy to costs associated with notifying affected people and remediating the breach. These accounts place the filing after the incident came to light and its consequences began to unfold. Michigan Department of Attorney General, March 11, 2021
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How many people were affected, and what information was involved?
Michigan’s attorney general reported that more than 7 million people were affected, while saying information for as many as 21 million people nationwide could potentially have been exposed. The figures describe different things: the first is the reported affected population; the second is an upper estimate of potential exposure, not a confirmed count of people affected. Michigan Department of Attorney General
The state’s account lists Social Security numbers and payment-card information among the data involved. In some instances, records also included names of medical tests and diagnostic codes. The account does not establish that every affected person’s record contained every listed data type. Michigan Department of Attorney General
What happened to AMCA’s bankruptcy case?
Settlement permission and dismissal request
AMCA later received bankruptcy-court permission to settle with a multistate coalition. On December 9, 2020, it filed to dismiss its bankruptcy case, according to Michigan’s attorney general. That later step means the 2019 filing should not be described as the case’s final outcome. Michigan Department of Attorney General
Settlement penalties and conditions
In March 2021, the Massachusetts Attorney General’s Office said the settlement assessed $21 million in penalties, with payment suspended unless specified terms were violated. The assessed amount should not be read as an unconditional payment made at the time of the announcement. Massachusetts Attorney General’s Office, March 11, 2021
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Scan for outdated or missing drivers - takes under a minuteDriver Scan →Repair Windows errors before they cause bigger problemsFix Now →Why did the breach lead to bankruptcy?
The official accounts connect the filing to the financial and legal fallout from responding to the breach: notification and remediation costs, alongside litigation. Michigan Attorney General Dana Nessel said: “This company failed to appropriately recognize and respond to warnings that the data it was storing had been compromised, jeopardizing the personal information of millions of people.” Michigan Department of Attorney General
The cited court discussion provides a chronology and describes the litigation aftermath; it is not a substitute for the original bankruptcy petition or a determination that every allegation in civil pleadings was proven. The available accounts also do not establish that all exposed information was misused or that the breach is ongoing.
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