$1.5M Northeast Rehabilitation Hospital Network Settlement Resolves Class Action Lawsuit Over 2024 Data Breach

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Northeast Rehabilitation Hospital Network has agreed to a $1,500,000 settlement to resolve a class action lawsuit over a data breach discovered in May 2024 that allegedly compromised the private information of patients and employees of the healthcare providers’ private information.

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The Northwest Rehabilitation data breach settlement received preliminary approval from the court on November 19, 2025 and covers all individuals in the United States whose private information may have been compromised in the data breach discovered by the hospital network in May 2024. Settlement documents indicate that approximately 148,515 people may have been impacted by the breach.

The court-approved website for the Northeast Rehabilitation Hospital Network settlement can be found at NortheastRehabHospitalSettlement.com.

Settlement documents state that Northeast Rehabilitation settlement class members who submit a timely, valid claim form may choose one of two cash payment options.

Class members who submit with their claim form documented proof of out-of-pocket, unreimbursed losses incurred because of the data breach are eligible to receive a cash payment of up to $5,000 in reimbursement. The settlement website relays that this payment, referred to as “Cash Payment A” in all court documents, covers losses from identity theft or fraud, fees for credit reports and monitoring, cost to replace IDs, and postage.

In place of documented losses, class members may alternatively file a claim to receive a one-time, pro-rated alternative cash payment of approximately $75, referred to in court documents as “Cash Payment B.” Importantly, the settlement agreement notes that no proof is needed to claim an alternative cash payment, which will be distributed from the net settlement fund after all settlement administrative costs, attorneys’ fees and lead plaintiff service awards have been paid.

Additionally, settlement documents state that Northeast Rehabilitation has agreed to implement enhanced security measures to its computer systems to mitigate the risk of a future data breach.

To submit a Northeast Rehabilitation claim form online, class members can head to this page and enter the unique ID and PIN as found on their copy of the settlement notice. Alternatively, class members can download a PDF of the claim form from the settlement website to print, fill out, and return by mail to the settlement administrator.

All Northeast Rehabilitation claim forms must be submitted online or postmarked by February 17, 2026.

The court will determine whether to grant final approval to the Northeast Rehabilitation data breach settlement at a hearing on March 2, 2026. Compensation will begin to be distributed to class members only after final approval is granted and any appeals have been resolved.

The Northeast Rehabilitation class action lawsuit claimed that the rehabilitative care provider failed to protect the employee and patient information stored on its network, resulting in the data breach discovered around May 22, 2024. According to court documents, the private information potentially accessed during the cyberattack included names, medical histories and treatments, patient account numbers, medical billing and claims information, health insurance details, Social Security numbers, credit card information, bank account and routing numbers, and other sensitive data.

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