The Mastagni Holstedt law firm, a prominent legal entity representing law enforcement personnel in Sacramento, has initiated legal action against Lantech LLC, a computer firm providing cybersecurity services. The lawsuit, filed in Sacramento Superior Court, seeks damages exceeding $1 million, alleging that despite hiring Lantech for cybersecurity defense, the law firm was subjected to a ransomware attack, forcing them to pay a ransom to regain access to their critical data. 

The suit also involves former Lantech owner Terry Berg and Acronis Inc., a backup data storage company, further complicating the issue surrounding cybersecurity accountability. The incident not only represents a substantial financial loss for the Mastagni Holstedt law firm but also serves as a nationwide cautionary tale for legal practices.

Why it matters: This lawsuit underscores a growing concern within the cybersecurity industry: the responsibility and liability of managed service providers (MSPs) and cybersecurity firms in protecting their clients from sophisticated cyber threats. With the Mastagni Holstedt law firm being forced to negotiate with cybercriminals to retrieve access to its data, this case highlights the escalating stakes in the digital age where data security is paramount.

• Ransomware Attack Details: The lawsuit claims the ransomware attack was executed by “Black Basta,” a group known for its significant impact on large organizations and critical infrastructure, indicating the sophisticated nature of cyber threats faced by entities across various sectors.

• Liability and Cybersecurity Services: The suit brings to light the question of liability when cybersecurity breaches occur, especially considering the oral agreement between Mastagni Holstedt and Lantech, which allegedly included provisions for cloud-based backups and cybersecurity monitoring.

• Future Implications for MSPs: The outcome of this lawsuit may set a precedent regarding the liability of MSPs and cybersecurity providers in the event of a breach, potentially reshaping the contractual relationships and expectations between businesses and their technology partners.

Go Deeper -> Prominent Sacramento Law Firm Sues for $1 Million After Falling Prey to Ransomware Attack – The Sacramento Bee

Managed Service Provider, Backup Vendor Sued Over Cybersecurity Breach – ChannelE2E