Columbus Regional Healthcare settlement overview:
- Who: A North Carolina judge has granted preliminary approval to a $1.1 million settlement in a class action lawsuit against Columbus Regional Healthcare System.
- Why: The settlement ends claims that Columbus Regional Healthcare System’s negligence led to a May 2023 data breach that exposed sensitive patient information.
- Where: The proposed settlement is filed in a North Carolina federal court.
A North Carolina judge has given preliminary approval to a $1.1 million settlement in a class action lawsuit against Columbus Regional Healthcare System over a May 2023 data breach that exposed sensitive patient information.
Judge Louis A. Bledsoe III of the North Carolina Business Court issued the approval order on Dec. 3, paving the way for the agreement that resolves allegations Columbus Regional failed to protect patient data.
The lawsuit was initially brought in February by plaintiffs Stephanie Luther, David Heller, Naqiis Lamir Johnson, and Curtis McLean.
Hackers reportedly had nearly a month to access and extract private information, including Social Security numbers and medical histories, before the hospital system discovered the breach, the plaintiffs alleged. At least 132,800 individuals were affected, according to court documents.
Patients say hospital was an easy target for hackers
The plaintiffs allege that Columbus Regional had weak data security protocols, arguing that the hospital failed to meet Federal Trade Commission guidelines and industry standards for safeguarding sensitive information.
The plaintiffs claimed the hospital’s inadequate protections made it an easy target for hackers. Columbus Regional waited until January 2024 — months after the breach — to notify affected patients, they said.
One plaintiff claimed she discovered unauthorized charges on her bank account following the breach, forcing her to spend hours each week monitoring her finances.
The settlement establishes a $1.175 million fund, with class members eligible to receive up to $5,000 each for out-of-pocket expenses, such as identity theft losses, credit repair fees, and credit monitoring costs. The final approval hearing is scheduled for April 2024.
In January, Medical Healthcare Solutions agreed to a similar class action settlement to resolve claims that it failed to prevent a 2021 data breach that compromised patient information.
What do you think of the Columbus Regional Healthcare settlement? Let us know in the comments.
The patients are represented by Rhine Law Firm PC, Mason LLP, Milberg Coleman Bryson Phillips Grossman PLLC, Steckler Wayne & Love PLLC, Siri & Glimstad LLP, Chestnut Cambronne PA, Emerson Firm PLLC and Morgan & Morgan PA.
The Columbus Regional Healthcare settlement is In re: Columbus Regional Healthcare System Data Security Incident Litigation, Case No. 2024CVS88, in the North Carolina Business Court.
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