Infosys gets final nod from US court for McCamish settlement

Infosys has received the final nod from a US court to settle class action suits related to the Infosys McCamish Systems data breach incident two years ago, the IT major has said in a statement to the exchanges. “On December 18, 2025, the court granted final approval on the settlement. If the settlement is not appealed within 30 days, then it will become effective and resolve all allegations made in the class action lawsuits without admission of any liability,” the company said in the filing. McCamish had agreed to pay $17.5 million (approximately ₹150 crore) into a fund to settle the class action suits related to the incident and was waiting for the terms of the settlement agreement to be approved by the US court to resolve the legal cases.   

In November 2023, Infosys McCamish Systems LLC, a subsidiary of Infosys BPM Limited, was affected by a ransomware attack on certain of its applications and systems. The company later initiated an investigation and hired cybersecurity and other specialists to probe and restore the impacted applications and systems, which took nearly 13 months. A third-party cybersecurity firm was also hired to determine the extent of the data breach. Through that unnamed eDiscovery vendor, Infosys was able to identify the corporate customers and individuals whose information was subject to unauthorised access and exfiltration. According to reports, the company had engaged Unit 42, part of Palo Alto Networks, to examine the extent to which the ransomware had affected its clients and resolution of the problem and EY to determine the client impact. 

From March 6, 2024, through July 25, 2024, six class action suits were filed in the U.S. District Court for the Northern District of Georgia against McCamish, which were then consolidated. The consolidated class action complaint was filed on November 7, 2024.  On December 20, 2024, the Court granted the parties’ joint motion to stay proceedings pending the parties’ efforts to resolve the lawsuit through mediation. 

Following this, on March 13, 2025, McCamish and the plaintiffs engaged in mediation, which resulted in the parties agreeing in-principle to settle the lawsuit and the terms of the proposed settlement. The settlement also includes seven class action lawsuits arising out of the incident that were filed against McCamish’s customers. Among those who used McCamish as a third-party vendor were John Hancock Life Insurance Co, Newport Group, Inc., and Bank of America,who were also facing threats of class action lawsuits. The company had earlier stated that McCamish had an insurance reimbursement receivable of $17 million which has been offset against the settlement expense of $17.5 million.