HealthEquity class action alleges co. failed to secure customer data

HealthEquity data breach class action lawsuit overview: 

• Who: Colin Booth filed a class action lawsuit against HealthEquity Inc. 
• Why: Booth claims HealthEquity failed to properly safeguard and secure the personally identifiable information of its customers during a data breach that happened in or about last month. 
• Where: The HealthEquity class action lawsuit was filed in Utah federal court. 

A new class action lawsuit claims HealthEquity failed to properly safeguard and secure the personally identifiable information (PII) of its customers during a data breach around last month. 

Plaintiff Colin Booth claims HealthEquity failed to protect the customer data while having a legal and equitable duty to safeguard it from unauthorized access and intrusion. 

“Defendant failed to adequately protect Plaintiff’s and Class Members PII––and failed to even encrypt or redact this highly sensitive information,” the HealthEquity class action says. 

Booth wants to represent a nationwide class of individuals whose PII was accessed or acquired by an unauthorized party as a result of the HealthEquity data breach in or about July 2024. 

HealthEquity customers now at ongoing risk of identity theft, class action claims

Information exposed in the data breach included HealthEquity customers’ names, addresses, phone numbers, employee IDs, employers, dependent information, payment card information and Social Security numbers, according to the HealthEquity class action. 

Booth argues hackers targeted this information to use it to exploit and steal the identities of the HealthEquity customers, who he claims are now at a present and continued risk of identity theft and fraud and will remain so “for their respective lifetimes.” 

“This unencrypted, unredacted PII was compromised due to Defendant’s negligent and/or careless acts and omissions and its utter failure to protect customers’ sensitive data,” the HealthEquity class action says. 

Booth claims HealthEquity is guilty of negligence and negligence per se, breach of contract and unjust enrichment. He demands a jury trial and requests declaratory and injunctive relief and an award of actual, statutory, nominal, and consequential damages for himself and all class members. 

HealthEquity, in a notice filed with the Maine attorney general’s office, said the data breach affected 4.3 million customers and attributed the incident — which the company says occurred in March and was discovered in June — to a vendor’s user accounts becoming compromised. 

Were you affected by the HealthEquity data breach? Let us know in the comments.

The plaintiff is represented by Jason R. Hull of Marshall Olson & Hull, P.C. and Gary M. Klinger of Milberg Coleman Bryson Philips Grossman PLLC. 

The HealthEquity data breach class action lawsuit is Booth, et al. v. HealthEquity Inc., Case No. 2:24-cv-00553, in the U.S. District Court for the District of Utah.

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