When a genetic testing company goes bankrupt, federal bankruptcy law currently allows customer DNA data to be sold off as an asset — this bill would stop that. Under the new rules, a bankruptcy court cannot approve any sale, lease, or transfer of genetic information unless every affected person, including people who aren't direct parties to the case, gives written consent after the bankruptcy begins. Companies and trustees would also have to give each person actual prior written notice before their genetic data can be touched. Any genetic data that isn't ultimately sold or transferred must be permanently deleted using court-approved methods. The law would apply to bankruptcy cases already in progress as well as new ones.
Civil Liberties
- Genetic-data consent requirement — written opt-in needed before bankruptcy sale
- Prior-notice mandate — individuals warned before genetic-data transfer
- Mandatory deletion — unsold genetic data must be permanently erased
Congressional Summary
Don’t Sell My DNA ActThis bill establishes protections for genetic information (e.g., information about an individual's genetic tests) in bankruptcy, particularly genetic information held by companies.In bankruptcies, a trustee is appointed to arrange for the use, sale, or lease of property of the debtor’s estate. The bill provides that if the property of the estate includes genetic information, all affected persons—including those not involved in the bankruptcy—must consent in writing to the use, sale, or lease of the genetic information after the commencement of the bankruptcy case.The trustee or debtor in a Chapter 11 (reorganization) bankruptcy must delete such genetic information if it is not disposed of in accordance with this bill.
Details
- Congress
- 119th
- Chamber
- Senate
- Status
- summarized
- Action
- Introduced in Senate
- Action Date
- 2025-05-22
- Date Added
- 2026-05-28
- Source
- Congress.gov →
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