
Over the weekend, genetic testing and biotechnology firm 23andMe filed for Chapter 11 chapter.
Based in 2006, the corporate grew to become standard with tens of millions of Individuals who despatched in samples of saliva with the promise of studying about their ancestry and genetic well being predispositions.
Nonetheless, following a class-action settlement from a data breach, the resignation of your entire board of impartial administrators, layoffs and its drug growth division closure, the agency has skilled enterprise troubles and mentioned it might be on the lookout for a purchaser.
“The Firm intends to proceed working its enterprise within the odd course all through the sale course of,” 23andMe mentioned in a statement this week. “There are not any adjustments to the way in which the Firm shops, manages, or protects buyer knowledge.”
23andMe directed ABC Information to its assertion in a request for remark in addition to to an open letter to its clients.
The chapter submitting has led to considerations over what’s going to occur to the non-public and genetic data of 23andMe’s greater than 15 million shoppers worldwide.
“I do not suppose they ever constructed adequate consent into individuals sending them data, saying, ‘We’ll do our greatest to guard it, however we will not promise,”‘ Dr. Arthur Caplan, a professor of bioethics on the NYU Grossman College of Medication, informed ABC Information.
“So, what you might need thought was secure and safe is clearly not, because the chapter is making clear now, however hasn’t been from the start,” he added.

A 23andMe saliva assortment package for DNA testing displayed in Washington.
Eric Baradat/AFP through Getty Pictures
Anya Prince, a professor on the College of Iowa School of Legislation with analysis pursuits in well being and genetic privateness, mentioned what occurs to the information 23andMe collects is roofed by the corporate’s privateness coverage.
Within the occasion of a chapter or sale, a person’s 23andMe knowledge can go to a brand new firm or be bought in chapter, Prince famous.
“The privateness coverage additionally says that the brand new firm has to comply with the prevailing privateness coverage, which sounds nice, however the present privateness coverage additionally says that it may be modified at any time,” Prince informed ABC Information. “So, the brand new firm might undertake the identical privateness coverage after which change it in ways in which possibly the shoppers do not like.”
I. Glenn Cohen, a professor of well being regulation and bioethics at Harvard Legislation College, informed ABC Information that in one in every of 23andMe’s chapter filings, the corporate indicated that any bidder must specific compliance with the present privateness assertion.
Nonetheless, it isn’t unusual for a brand new firm to concern a brand new privateness assertion and to ask individuals to click on by way of to agree, he mentioned.
One instance of a change might be in how a brand new firm would deal with handing over knowledge to regulation enforcement.
“Below the present 23andMe privateness guidelines, they’ll anticipate a legitimate subpoena, search warrant or courtroom order” earlier than sharing knowledge with regulation enforcement, Cohen mentioned. “It is attainable this new firm would have a distinct strategy and would get you to choose in to their privateness statements such that the data may be extra readily shared with regulation enforcement or probably with employers and insurance coverage.”
Moreover, about 80% of 23andMe customers have chosen the extra choose in for his or her knowledge for use for medical analysis.
Below present 23andMe coverage, when the information is shared with corporations for analysis, it would not have names hooked up to the genetic samples. Whereas the information may be nameless for the corporate that’s conducting the analysis, it is not essentially nameless at 23andMe, consultants informed ABC Information.
Cohen mentioned that knowledge may even switch over to a brand new firm as a part of chapter proceedings.

An indication is posted in entrance of the 23andMe headquarters on Feb. 1, 2024 in Sunnyvale, Calif.
Justin Sullivan/Getty Pictures
This data isn’t protected by HIPAA, which is a regulation that protects affected person privateness and ensures the safety of well being data.
“In contrast to your well being information, that are coated by HIPAA, your digital well being information, and the type of knowledge you share along with your physician … 23andMe does enterprise with you as a shopper, not as a affected person,” Cohen mentioned. “You aren’t getting these total federal well being privateness protections that we give, for instance, to the information you share along with your physician.”
Added Caplan: “The privateness regulation we now have applies to data in well being care settings. It would not apply to defending data that you just gave freely to a personal firm.”
Customers have the choice of deleting their account and asking for his or her pattern to be destroyed, particularly if they’re in a state that has a genetic privateness regulation, equivalent to California.
California’s Lawyer Common Rob Bonta put out a press release with steps on methods to delete genetic knowledge, destroy a check pattern and to revoke permission for genetic knowledge being utilized in analysis.
“There may be individuals on the market who say, ‘I am positive with that, I feel the dangers are low, and I am blissful for a brand new firm to share my knowledge in x, y or z method,'” Prince mentioned. “However to the extent that that it is someone who does say, ‘Oh, I did not notice that that is how my knowledge may be shared, or I simply I trusted 23andMe however I do not know whether or not I belief the following firm that may have this knowledge, then they could wish to think about moving into and deleting that account.”