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More States Signal Their Approval of 23andMe Sale

Just one day after a coalition of nearly 20 states blessed TTAM Research Institute's agreement to acquire 23andMe and its data (see 2506180018), a court document filed Thursday shows nine more states joined in support. The group of now 27 states argued that genetic data isn't moving to a third party, since TTAM isn't strictly an outsider. TTAM's chief, Anne Wojcicki, founded 23andMe and is its former CEO.

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“Furthermore, there is no actual physical or electronic transfer or disclosure of any DNA or other customer material or data,” the states said. They “recognize that all the customers previously entrusted their data with 23andMe. That initial consent appears applicable to this proposed transition of 23andMe into a nonprofit form.”

However, the states emphasized that their earlier objections and complaints remain (see 2506100051), as 23andMe has "no right to auction off and transfer to a third party their customers’ biological material, genetic data, and phenotype information without first obtaining express, informed consent from each customer prior to transfer," even though they "understand that neither bidder intends to do so."

In separate documents filed Wednesday, Delaware and Alaska resolved their objections to the proposed sale as well. "While the Sale may violate certain Delaware genetic informed consent and privacy protection laws, in its discretion Delaware does not oppose the proposed Sale given the revised consumer privacy protection language included in the proposed Order approving the Sale," the state said.

Alaska withdrew its joinder to California's objection (see 2506110047) on the condition that the sale's final order contains language outlined in the court document. "As to Alaska residents, TTAM will only receive the industry data of those individuals who consented to 23andMe’s Research Consent Document, Individual Data Sharing Consent, or Biobanking Consent form ('consent forms') in accordance with the manner identified in the consent forms," it said, quoting the language it wants to be added to the sale order. "TTAM will not receive access to the industry data of Alaska residents and will lock those accounts of those residents that did not consent to research."

Kentucky and Utah, which were involved in the original complaint and objection, didn't approve the sale to TTAM. Late on Tuesday, Kentucky filed a supplemental objection arguing for express consent, which Utah joined Wednesday (see 2506180018).

Ohio and Virginia, who support the new buyer, weren't part of the objection and lawsuit.