ESO Solutions faces class action lawsuit allegations in wake of data breach

ESO class action lawsuit overview: 

• Who: ESO Solutions is facing a pair of class action lawsuits related to a data breach on or around Sept. 17 that impacted 2.7 million individuals. 
• Why: ESO Solutions is accused of not properly protecting medical health and treatment information as well as personal identifying information.
• Where: The ESO class action lawsuits were filed in federal court in Austin, Texas.

ESO Solutions is facing a pair of class action lawsuits in federal court in Austin, Texas, claiming the company did not properly protect the health information and personal identifying information (PII) of customers.

Around Sept. 17, nearly 2.7 million individuals had their data accessed in the ESO data breach. The stolen information included medical treatment information as well as PII including names, phone numbers, addresses and Social Security numbers, according to the ESO class action lawsuits.

The improperly protected health information is a violation of the Health Insurance Portability and Accountability Act of 1996 (HIPAA), the lawsuits claim.

The class members had worked to make sure their PII and health information had remained private and protected but ESO Solutions violated that, the lawsuits claim.

“Defendant, however, breached its numerous duties and obligations by failing to implement and maintain reasonable safeguards; failing to comply with industry-standard data security practices and federal and state laws and regulations governing data security; failing to properly train its employees on data security measures and protocols; failing to timely recognize and detect unauthorized third parties accessing its system and that substantial amounts of data had been compromised; and failing to timely notify the impacted class,” the lawsuits claim. 

Data breaches are preventable through proper data practices, lawsuits claim

Data breaches are preventable through employee training, the use of firewalls, strong spam filters, incoming/outgoing message scans, patch operating systems, anti-virus and anti-malware programs and more, the ESO class action lawsuits claim.

Experian estimates that medical identity theft costs individuals an average of $20,000 and most must pay out-of-pocket costs for fraudulent medical expenses to restore their coverage, the lawsuits claim.

Were you impacted by the ESO Solutions data breach? Let us know in the comments.

The first plaintiff is represented by Joe Kendall of Kendall Law Group PLLC and both Bryan L. Bleichner and Philip J. Krzeski of Chestnut Cambronne PA.

The first ESO class action lawsuit is Essie Jones f/k/a Essie McVay v. ESO Solutions Inc., Case No. 1:23-cv-01557, in the U.S. District Court for the Western District of Texas Austin Division.

The other plaintiff is represented by Joe Kendall of Kendall Law Group PLLC and Alexandra M. Honeycutt of Milberg Coleman Bryson Phillips Grossman LLC. 

The second ESO class action lawsuit is Claybo v. ESO Solutions Inc., Case No. 1:23-cv-01560, in the U.S. District Court for the Western District of Texas Austin Division.

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