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MEMPHIS, Tenn. (WMC) – A motion has been filed to dismiss a class action lawsuit against Powerschool.

The plaintiffs filed a motion Friday to dismiss without prejudice. A reason was not given.

The lawsuit was filed in January, and Memphis-Shelby County Schools joined the multi-district lawsuit in May, claiming the company failed to protect critical information about students and teachers.

According to court documents, MSCS is bringing a lawsuit against PowerSchool, a cloud-based data system used by schools nationwide for students’ information.

The lawsuit says PowerSchool’s data was breached in December 2024 but did not notify school districts until January 2025.

Personal data like staff and student Social Security numbers, addresses, names, and medical information were compromised.

Later the same month, MSCS agreed to renew its contract with Powerschoola one-year extension worth around $2.4 million.

MSCS says four months is not enough time for district officials to find an alternative vendor and move away from the “robust and unique” grading system it’s used for more than a decade.

There’s still no word from MSCS on if they will be filing a new lawsuit.

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