Top Class Actions reports:
American Addiction Centers Inc. agreed to a $2.75 million class action lawsuit settlement to resolve claims it failed to adequately protect patients’ private information.
The settlement benefits individuals whose personal information was potentially compromised in a data breach involving American Addiction Centers on or about Sept. 26, 2024, and who were sent a notification letter regarding the incident.
According to the class action lawsuit, American Addiction Centers failed to implement reasonable cybersecurity safeguards, allowing cybercriminals to gain unauthorized access to sensitive patient information. This information included names, addresses, dates of birth, Social Security numbers, medical record numbers, treatment information and health insurance details.
The September 2024 attack was first revealed by the Rhysida ransomware gang in November 2024, and was reported to HHS at the time. The number affected was subsequently updated to report that 410,747 patients had been affected. HHS OCR’s investigation of the incident appears to be still open.
