Clorox Takes Legal Action Over Cyberattack

US household goods manufacturer Clorox has filed a lawsuit against Cognizant, seeking $380 million in damages. The lawsuit alleges that Cognizant's service desk negligently provided cybercriminals with access to Clorox's network by failing to properly verify the identity of the requester.

The Impact of the Cyberattack

The cyberattack had a debilitating effect on Clorox, paralyzing its corporate network and crippling business operations. Clorox claims that when they sought help from Cognizant for incident response and disaster recovery, the response was botched, exacerbating the damage.

Financial and Operational Consequences

Clorox estimates the cyberattack caused approximately $380 million in damages, including over $49 million in remedial costs and significant business interruption losses. The attack hindered Clorox's ability to ship orders and keep products on retailers' shelves.

Cognizant's Role and Response

Clorox had an agreement with Cognizant since 2013 for service desk support and identity management. Cognizant, however, disputes the allegations, stating that their role was limited to help desk services and that they did not manage cybersecurity for Clorox.