$4.5M Capital Health Settlement Resolves Class Action Lawsuit Over November 2023 Data Breach

New to ClassAction.org? Read our Newswire Disclaimer

Capital Health Systems has agreed to a $4.5 million settlement to resolve a class action lawsuit alleging that the healthcare provider failed to implement proper cybersecurity procedures, leading to a data breach in November 2023 that potentially exposed the private information of its patients, former patients, guarantors, and employees.

Don’t miss the next class action settlement deadline. Sign up for ClassAction.org’s free weekly newsletter.

The Capital Health class action settlement received preliminary approval from the court on November 10, 2025 and covers all individuals whose private information was potentially compromised because of the November 2023 data breach.

The court-approved website for the Capital Health data breach settlement can be found at CapitalHealthDataBreachSettlement.com.

According to the settlement website, Capital Health settlement class members who submit a timely, valid claim form have multiple options for reimbursement. Class members who submit with their claim form proof of documented losses can receive up to $5,000 in reimbursement, referred to as “Cash Payment A” in court documents. Per the site, a non-exhaustive list of reimbursable losses include those related to identity theft and fraud, credit monitoring, credit freezing or unfreezing, and miscellaneous expenses such as mileage and postage.

The settlement site relays that all claims for documented losses must be accompanied by supporting documentation prepared by a third party, such as invoices and receipts.

In lieu of a documented loss payment, class members may choose to receive a one-time, pro-rated alternative cash payment of approximately $100, referred to as “Cash Payment B” in court documents.  No proof is needed from class members who file a claim to receive Cash Payment B. The settlement website reports that the final amount of each class member’s payout will be determined by the total number of valid claims filed.

In addition to monetary benefits, all Capital Health settlement class members may submit a claim form to enroll in three free years of one-bureau credit monitoring, valued at approximately $90 per year, which includes services like dark web scanning, public records monitoring and identity theft insurance, according to the settlement agreement.

Lastly, Capital Health has implemented additional security measures to mitigate the risk of a future data breach as part of the settlement agreement.

To submit a Capital Health settlement claim form, class members can head to this page of the settlement site 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 site to print, complete, and return by mail to the settlement administrator.

All Capital Health claim forms must be submitted online or postmarked no later than April 6, 2026.

The court will decide whether to grant the Capital Health settlement final approval at a hearing on July 14, 2026. Compensation will begin to be distributed to class members only after final approval has been granted and any appeals are resolved.

The Capital Health class action lawsuit alleged that the healthcare system, which operates multiple locations throughout New Jersey and Pennsylvania, failed to create safeguards for the private information stored on its systems, leading to a targeted cyberattack between the approximate dates of November 11, 2023 and November 26, 2023. Per court documents, the information potentially compromised as a result of the  data breach included the names, dates of birth, Social Security numbers, email addresses, telephone numbers, clinical information, and other sensitive data of current and former patients, employees and guarantors of Capital Health.

Head to ClassAction.org’s settlements page for a complete list of data breach settlements.