$1.5M Practice Resources Settlement Resolves Data Breach Lawsuit Over April 2022 Hack
Stewart v. Practice Resources, LLC
Filed: August 25, 2022 ◆§ 6:22-cv-00890
Practice Resources, LLC faces a class action after the medical billing services provider was targeted by cybercriminals during an April 2022 data breach.
Practice Resources has agreed to pay a $1.5 million settlement to resolve a consolidated class action lawsuit over an April 2022 data breach that reportedly compromised the personal and medical information of approximately 942,000 people.
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The court-approved website for the Practice Resources data breach settlement can be found at PRLDataBreachSettlement.com.
The settlement agreement with the medical billing services provider covers all individuals whose private information was compromised in the data breach, including those who were sent notice of the incident on or around August 23, 2022.
According to the Practice Resources class action settlement website, class members who filed a valid claim form by April 25, 2025 are eligible to receive settlement benefits, including a choice of up to $5,000 in reimbursement for documented monetary losses incurred on or after April 12, 2022 and “more likely than not” traceable to the incident, up to three years of credit monitoring and identity theft insurance services, or a pro-rated cash payment.
Related Reading: Practice Resources Facing Class Action Over 2022 Data Breach
The website notes that the credit monitoring and insurance service benefit was available to consumers regardless of whether they accepted any previous offer from Practice Resources. Class members who took advantage of a prior offer or received such services from another provider as a result of the data breach may delay activation of this benefit for up to 12 months, the site adds.
For consumers who elected to receive a Practice Resources settlement payment, individual payout amounts will depend on the total number of valid claims that were filed and what remains of the settlement fund after the aforementioned benefits are paid, the website explains.
Per the site, all settlement payments and the duration of credit monitoring and insurance services are subject to reduction as needed to exhaust but not exceed the $1,500,000 fund.
The Practice Resources settlement was preliminarily approved by the court on September 23, 2024. Next, the court will decide whether to grant final approval to the terms of the deal at a hearing on June 11, 2025.
Settlement benefits will be issued to eligible class members only if the settlement receives ultimate court approval. The process may be prolonged by appeals, which must be resolved before any Practice Resources settlement benefits are distributed.
According to the class action lawsuit against Practice Resources, the company failed to prevent the cyberattack, which the company claims to have discovered on or around April 12, 2022.
The incident compromised individuals’ names, home addresses, dates of treatment, health plan numbers and/or medical record numbers, the case said.
Head to ClassAction.org’s settlements page for a complete list of data breach settlements.
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