Even with so many main headlines competing for consideration final month, it was onerous to overlook the information that 23andMe had filed for chapter. Media retailers referred to as the submitting a catastrophe for customers and warned that 23andMe information are actually up for grabs. Quite a few state attorneys basic urgently reminded prospects of their information rights. Columnists for The New York Occasions and The Washington Put up had been extra direct: They advisable that prospects instantly delete their information.
The main focus of concern has been the destiny of 15 million DNA profiles. These are the genetic take a look at outcomes of 23andMe prospects who bought genetic testing from the corporate. However 23andMe’s huge information shops aren’t restricted to particular person genotypes. In addition they embrace prospects’ biospecimens, ancestry and health-related experiences, responses to analysis surveys, and different self-reported private info.
In information articles, privateness and safety consultants have targeted on the quantity and sensitivity of this info and raised alarm bells about its sale in chapter. There was a lot hypothesis about who could be 23andMe’s purchaser and what they may do with the information. Some media have described troubling situations involving nefarious actors.
Few experiences embrace a element that genetic genealogists know effectively: This isn’t the primary time a direct-to-consumer genetics firm, together with all of its buyer information, has modified fingers. Removed from it; 23andMe is without doubt one of the solely main corporations on this house that has not but been bought.
This isn’t the primary time a direct-to-consumer genetics firm, together with all of its buyer information, has modified fingers. Removed from it; 23andMe is without doubt one of the solely main corporations on this house that has not but been bought.
This transient however busy historical past contains the 2019 acquisition of GEDmatch, which maintains roughly 2 million DNA profiles, by Verogen, a forensic genomics agency. Verogen then was acquired in 2023 by QIAGEN, a Netherlands-based supplier of applied sciences for molecular diagnostics, utilized testing, and analysis. In 2020, Blackstone, a worldwide funding agency, bought Ancestry, the trade behemoth that maintains a database of over 27 million DNA profiles. The subsequent 12 months, FamilyTreeDNA and its dad or mum firm, Gene by Gene, merged with myDNA, an Australian personalised genomics firm. Additionally in 2021, personal fairness agency Francisco Companions introduced its acquisition of MyHeritage, which maintains a buyer database of roughly 9 million DNA profiles.
After all, 23andMe’s state of affairs is totally different from these confronted by its trade friends. Possession of 23andMe’s property shall be determined in chapter, which may encourage curiosity from entities in unrelated sectors or that lack expertise managing giant private datasets. And as a self-described “genetic well being and biopharmaceutical firm,” 23andMe virtually actually holds extra well being details about prospects than opponents targeted on ancestry and household historical past companies.
But, 23andMe prospects are additionally in a special place than the purchasers of different acquired direct-to-consumer genetics corporations. They’ve advance warning of the sale and due to this fact time, if they need it, to digest details about the customer and phrases of sale as this info turns into identified. In addition they are in a position to delete their information earlier than the deal is inked if what they be taught worries them.
It seems that many purchasers have already got finished so. Some commentators have famous {that a} mass exodus may considerably cut back the corporate’s worth.
For these nonetheless on the fence, 23andMe has emphasised that its privateness coverage stays in place and shall be a situation of sale. FAQs issued with the chapter announcement state 23andMe will proceed enterprise operations throughout the proceedings and that it’ll not change the way it “shops, manages, or protects buyer information.” The corporate individually defined that to represent a professional bid, potential consumers should conform to adjust to its privateness coverage and relevant legal guidelines.
The U.S. Federal Commerce Fee (FTC), which is permitted to take authorized motion in opposition to corporations that interact in unfair or misleading practices, has made identified its place that 23andMe should preserve these guarantees. In a strongly worded letter to the U.S. Trustee Program that oversees chapter instances, the FTC said its expectation that 23andMe shall be required to adjust to its privateness statements, in keeping with the Chapter Code.
State attorneys basic even have signaled they’re carefully watching the case for violations of state client safety and information privateness legal guidelines. By now, greater than 25 state attorneys basic, in addition to the U.S. Trustee Program, have requested appointment of a privateness ombudsman to guard buyer information within the transaction. Amongst different issues, some argue {that a} privateness ombudsman is critical to find out which of the corporate’s many amended privateness insurance policies apply to particular buyer information. 23andMe has countered with a proposal for an impartial buyer information consultant to, amongst different issues, establish privateness points associated to the sale and the customer’s skill to securely retailer transferred information. Extra just lately, the U.S. Division of Justice notified the courtroom {that a} sale of the corporate’s information to a overseas entity may immediate nationwide safety assessment and will even be prohibited.
In comparison with the preliminary chapter announcement, these developments have acquired much less consideration, though they’ve the potential to meaningfully form the privateness outcomes of the sale. Authorized information companies and lawyer publications clarify how. Particularly, below the Chapter Code, a privateness ombudsman could make suggestions to the courtroom for mitigating potential privateness losses. Though not required to take action, the courtroom can embrace these suggestions as circumstances of sale.
Individually, the FTC can intervene to make sure that buyer information are dealt with in methods in keeping with 23andMe’s privateness guarantees—because it has finished previously. In a single case involving intensive privateness guarantees made by a debtor, the FTC advisable that the customer be in considerably the identical traces of enterprise because the debtor, conform to be sure by the debtor’s privateness coverage, and acquire prospects’ affirmative consent earlier than making any materials adjustments to the coverage. The debtor finally agreed to destroy many of the information and provides prospects the precise to choose out of the sale of their remaining information. In a second case, the FTC asserted that, given a debtor’s express privateness representations, the debtor’s switch of delicate buyer information to the brand new proprietor may violate federal regulation—even with the brand new proprietor representing that it will keep on the identical enterprise because the debtor. Appearing on the FTC’s suggestion, the debtor agreed to delete the information.
It’s too early to know if the FTC will intervene within the 23andMe case. That it already has voiced its “pursuits and issues” to the U.S. Trustee Program, together with its expectation that 23andMe shall be held to its privateness guarantees, is an effective signal for patrons. So, too, is the coordinated demand for a privateness ombudsman by quite a few state attorneys basic. For these eager about monitoring these and different developments, the internet web page established by 23andMe’s claims and noticing agent identifies necessary dates and supplies free entry to courtroom paperwork and audio recordsdata, that are repeatedly up to date.
Half 2 of this sequence will deal with the chapter implications of 23andMe’s place on regulation enforcement in addition to choices for patrons and policymakers.
Concerning the authors

Christi Guerrini, JD, MPH, is Affiliate Professor within the Middle for Medical Ethics and Well being Coverage at Baylor School of Drugs.

Amy McGuire, JD, PhD, is the Leon Jaworski Professor of Biomedical Ethics and Director of the Middle for Medical Ethics and Well being Coverage at Baylor School of Drugs.
Any opinions, conclusions, and proposals expressed on this article are these of the authors and don’t characterize the views of Baylor School of Drugs.