Delta's lawsuit against CrowdStrike to go ahead after okay from Judge

Date:
Thu, 22 May 2025 16:28:00 +0000

Description:
The 2024 faulty CrowdStrike update saga continues.

FULL STORY ======================================================================The faulty CrowdStrike update disrupted operations at Delta The airline sued the cybersecurity outfit, which then filed a motion to dismiss The judge denied the motion and gave the lawsuit the go-ahead

Deltas lawsuit against cybersecurity outfit CrowdStrike got the judges green light and will proceed. Earlier this May, Judge Kelly Lee Ellerbe filed their decision with the Fulton County Superior Court, denying CrowdStrikes motion
to dismiss and allowing most of Deltas claims to move forward.

Here is a little context: Last year, cybersecurity company CrowdStrike pushed a faulty update to users on Windows devices, causing widespread disruption. Banks, airlines, TV broadcasters, and many other companies, were unable to operate nominally due to the dreaded Blue Screen of Death popping up across their IT infrastructure.

US airline Delta was hit particularly hard. According to The Register , it took five days to recover, significantly more than rivals American Airlines and United Airlines. Whats more, the same source claims Delta was forced to ground a lot more airplanes compared to other organizations.

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Preferred partner ( What does this mean? ) View Deal Motion to dismiss

This prompted Delta to sue CrowdStrike claiming the company deployed the update without permission, bypassed Microsofts certification process, and failed to properly test the update before release. CrowdStrike admitted the update was flawed but claims Deltas delayed recovery was due to its own decisions. The lawsuit included multiple claims, such as breach of contract, trespass, negligence, and fraud.

CrowdStrike filed a motion to dismiss, arguing that Deltas claims were invalid. The argument here is that the claims should be limited by the contract under Georgias economic loss rule, which generally prevents tort claims for purely financial losses arising from a contract. Delta says CrowdStrike violated independent duties, such as obligations under trespass laws and cybersecurity standards.

Now, the judge has partially denied CrowdStrikes motion to dismiss. Namely, trespass and negligence claims are valid, while fraud claims were upheld in part.

The Register spoke to CrowdStrikes outside counsel, Michael Carlinsky of law firm Quinn Emanuel, who says that the worst-case scenario is the company having to pay single-digit millions to Delta. The airline, on the other hand, is pleased by the ruling.

Via The Register You might also like Global Windows outage plunged banks, airlines, and more into chaos here's everything you need to know Take a look at our guide to the best authenticator app We've rounded up the best password managers



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Link to news story: https://www.techradar.com/pro/security/deltas-lawsuit-against-crowdstrike-to-g o-ahead-after-okay-from-judge


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