Delta Promises Lawsuit Over CrowdStrike Software Update Crash

August 14, 2024

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The Record’s Jonathan Greig reports that Delta Airlines is threatening to sue cybersecurity firm CrowdStrike for the software update crash that caused thousands of flights to be delayed and canceled. Delta claims CrowdStrike launched the update untested.

CrowdStrike lawyer Michael Carlinsky responded with a letter of his own. “Should Delta pursue this path, Delta will have to explain to the public, its shareholders, and ultimately a jury why CrowdStrike took responsibility for its actions — swiftly, transparently, and constructively — while Delta did not,” Carlinsky wrote. He also noted that the airline’s competitors restored operations much faster

The letter demands that Delta preserve documents, records, and communication related to the outage caused by the software update crash, and pointedly included preservation of records relating to past security incidents in the demand.

According to Delta CEO Ed Bastian, the airline had to cancel about 5,000 flights due to the outage caused by the update. He told CNBC that the company had to issue millions of dollars worth of food and hotel vouchers, and will lose more than $500 million.

Bastian said Delta was compelled to file a lawsuit to protect their shareholders, customers, and employees. He said the damages extended to Delta’s brand and reputation.

Carlinsky claimsCrowdStrike extended offers of help to Delta many times, including once from the company’s CEO directly to Bastian, who did not respond.

He said that CrowdStrike rejects allegations that it was grossly negligent or committed willful misconduct, and claimed that any liability by CrowdStrike is contractually capped at an amount in the single-digit millions.

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