CrowdStrike is sued by fliers after massive outage disrupts air travel

A view of a flight information display board where passengers are able to know the status of their flights after airlines were grounded worldwide caused by a tech outage from an update to CrowdStrike’s ‘Falcon Sensor’ software, crashing Microsoft Windows systems in Tampa, Florida, U.S., July 19, 2024. REUTERS/Octavio Jones/File Photo Purchase Licensing Rights

CrowdStrike’s (CRWD.O), opens new tab legal troubles from last month’s massive global computer outage deepened on Monday, as the cybersecurity company was sued by air travelers whose flights were delayed or canceled.
In a proposed class action filed in the Austin, Texas, federal court, three fliers blamed CrowdStrike’s negligence in testing and deploying its software for the outage, which also disrupted banks, hospitals and emergency lines around the world.

The plaintiffs said that as fliers scrambled to get to their destinations, many spent hundreds of dollars on lodging, meals and alternative travel, while others missed work or suffered health problems from having to sleep on the airport floor.
They said CrowdStrike should pay compensatory and punitive damages to anyone whose flight was disrupted, after technology-related flight groundings for Southwest Airlines (LUV.N), opens new tab and other carriers in 2023 made the outage “entirely foreseeable.”

CrowdStrike said in a statement: “We believe this case lacks merit and we will vigorously defend the company.”
It provided an identical statement in response to a shareholder lawsuit filed on July 31, after the company’s stock price had fallen by about one-third.
The outage stemmed from a flawed software update that crashed more than 8 million computers.
Delta Air Lines (DAL.N), opens new tab has said it may take legal action against Austin-based CrowdStrike after canceling more than 6,000 flights, at a cost of about $500 million.

Source: https://www.reuters.com/legal/crowdstrike-is-sued-by-fliers-after-massive-outage-disrupts-air-travel-2024-08-05/

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