Companies agree to settlements with consumers in data breach class actions

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Data breach settlements overview: 

• Who: Several companies agreed to settlements to resolve class action lawsuits accusing them of mishandling data breaches. 
• Why: Consumers claim the companies could have done more to protect their personal information or prevent a data breach. 
• Where: The settlements occurred nationwide.

Several companies recently agreed to pay settlements made to resolve claims they mishandled or failed to safeguard their customers’ information during data breach events. 

Last month, T-Mobile agreed to pay $350 million in a settlement resolving claims the company failed to prevent a data breach that exposed the sensitive information of 76 million Americans. 

The T-Mobile data breach reportedly did not expose financial data but still compromised personally identifying information such as names, addresses, birthdates and Social Security numbers. 

Also last month, investment platform Robinhood agreed to a settlement that resolved allegations it failed to stop a data breach that resulted in an unauthorized party taking control of some of the customer accounts, resulting in millions of lost dollars. 

The plaintiffs accused Robinhood of failing to adequately respond to the data breach or set up a customer care phone number. They claim they could only contact Robinhood by email and then had to wait days or weeks to receive any response from the company.

LifeBridge Health pays nearly $9.5 million to end claims it failed to protect patient information

Earlier this month, LifeBridge Health agreed to pay almost $9.5 million to end allegations it failed to protect patient information during a data breach that began in September 2016 and continued for 18 months. 

LifeBridge disclosed in May 2018 that it had been the victim of a data breach that it says impacted 530,000 of its patients by compromising personal data such as names, Social Security numbers, and health information, among other things. 

PrimoHoagies settlement resolves claims that sandwich shop enabled months-long data breach

In September, PrimoHoagie agreed to a settlement made to resolve claims it failed to protect its customers’ data during a data breach that occurred between July 2019 and February 2020. 

The sandwich shop announced it had been the victim of a months-long data breach in April 2020 that enabled hackers to access private information such as names, addresses, and payment card information. 

At the time, PrimoHoagies offered to provide identity protection and credit monitoring services to customers who may have been affected by the data breach. 

SN Servicing, Mediant Communications, Presidio agree to data breach settlements

Also last month, SN Servicing Corp. agreed to pay $900,000 to end claims that an October 2020 data breach against the company was due to its allegedly relaxed cybersecurity procedures. 

SN Servicing announced that it had been a victim of the data breach in July 2021 that led to a third party gaining unauthorized access to its customers’ names, contact information and Social Security numbers, among other things. 

Mediant Communications, meanwhile, agreed to a class action settlement last month that resolved claims revolving around a 2019 data breach against the company. 

The data breach allegedly happened through the company’s business email accounts and exposed sensitive investor information that Mediant Communications had gathered while working with clients. 

Also in September, Presidio agreed to a settlement that ended claims it negligently failed to protect the information of its current and former employees during a 2020 data breach. 

Tech company Presidio notified its affected current and former employees in March 2020 that it experienced a data breach after an unauthorized third party gained access to its systems. 

The data breach against Presidio exposed personal information provided to the company as a way for workers to verify their identities and get paid, including names and Social Security numbers. 

ClearBalance, Bricker & Eckler, SeaMar Community Health Centers resolve data management claims

ClearBalance agreed to a class action settlement worth $2.65 million to resolve claims it mismanaged a data breach against it last year. 

Also known as CSI Financial Services, the company says it learned of the data breach in April 2021 after it detected and prevented an unauthorized wire transfer from a ClearBalance account. 

An investigation determined that the data breach occurred after an unauthorized third party accessed ClearBalance email accounts in both March and April 2021. 

Also in September, law company Bricker & Eckler agreed to pay $1.95 million to resolve claims revolving around a 2021 data breach that exposed the personal health information of its health system patients. 

The settlement benefits health system patients whose medical, personal or financial information was exposed in the data breach, which occurred in January 2021. 

Meanwhile, Sea Mar Community Health Centers agreed to a class action settlement worth $4.4 million in September that ends allegations surrounding a data breach between December 2020 and March 2021. 

The community-based health organization announced a data breach that exposed sensitive patient data such as health insurance info and Social Security numbers in October 2021. 

Aeries Software, Bansley & Kiener, DuPage Medical, Magellan Health settle data breach claims

Also last month, Aeries Software agreed to pay $1.75 million to resolve allegations revolving around a 2019 data breach that compromised students’ personal information at San Dieguito Union High School. 

Aeries announced that it had suffered a data breach in November 2019 that exposed the personal information of both students and parents at many California school districts, including San Diego County’s San Dieguito Union High School District. 

Bansley & Kiener, on the other hand, agreed to pay $900,000 last month to end claims it mismanaged a 2020 data breach by allegedly waiting more than a year to inform the authorities. 

Also last month, DuPage Medical came to a settlement agreement worth $3 million that will put to bed allegations it failed to protect the information of its patients from being compromised during a data breach last year. 

Additionally, Magellan Health agreed to pay $1.43 million to resolve claims revolving around a 2019 phishing attack that exposed 273,000 patients’ data. 

Have you been affected by a data breach? Let us know in the comments! 

Read About More Class Action Lawsuits & Class Action Settlements:

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• Meta class action alleges Facebook intercepts, monitors, records private browsing activity
• Snapchat biometric privacy $35M class action settlement