The **Administrative Office of the US Courts (AOUSC)** has confirmed that a cyberattack on its contractor, **BAE Systems**, has disrupted essential operations for federal bankruptcy courts across the United States. ### Critical Systems Offline The attack has rendered the notice system used by federal bankruptcy courts inoperable. This includes **BNC systems** and associated websites such as `bnc.uscourts.gov`, `bankruptcynotices.uscourts.gov`, and `notices.uscourts.gov`, as well as the **National Creditor Registration Service**. "The Administrative Office of the US Courts has been in communication with the impacted courts and is also coordinating with BAE Systems. BAE is actively investigating this incident and working to restore operations," stated the **AOUSC** in a press release. ### BAE Systems Responds **BAE Systems**, a major defense contractor and provider of IT and cybersecurity services to government agencies, acknowledged the incident. A spokesperson for **BAE Systems** confirmed, "We are aware of a security incident that is isolated to the BNC system and have taken immediate steps to address it. We are coordinating closely with AOUSC on the response." ### A History of Judiciary Cyber Incidents This incident is not the first time the US Federal Judiciary has faced cybersecurity challenges. Last year, the Judiciary confirmed it was strengthening its defenses following a separate cyberattack that affected its electronic case management systems. At that time, the federal Judiciary emphasized enhanced protections for sensitive, sealed filings, implementing stricter access controls to thwart attackers. A report by Politico further detailed that hackers had breached **CM/ECF** electronic case management systems and the **PACER** federal court document management platform, potentially accessing sensitive data, including the identities of confidential informants.  ### The Lingering Threat of Credential Compromise These incidents underscore a critical vulnerability in many organizations: the effectiveness of defenses once attackers gain valid credentials. Research indicates that even with robust initial prevention, the ability to block malicious actions drops significantly once an attacker has legitimate access. This highlights the ongoing need for sophisticated detection and response mechanisms that go beyond initial access prevention, focusing on lateral movement and post-compromise activity to protect sensitive data and critical infrastructure.