Red Coats Data Breach Settlement Wraps Up Lawsuit Over 2025 Cyber Incident

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Red Coats, Inc. has agreed to a class action settlement to wrap up a lawsuit that alleged the Maryland-based commercial cleaning and facility services company failed to adequately protect sensitive information from a May 2025 data breach.

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The Red Coats class action settlement received preliminary approval from the court on September 1, 2026. Eligible for the settlement are all individuals who were sent written notification of the Red Coats data breach.

Court documents state that approximately 35,000 people are included in the settlement class.

The court-authorized Red Coats data breach settlement website can be found at RedCoatsSettlement.com.

Class members who file a timely, valid claim form can receive up to $2,000 for unreimbursed, documented “ordinary” out-of-pocket losses incurred between May 26, 2025 and January 7, 2027 due to the data breach. This benefit covers losses from identity theft or fraud and costs for credit reports, credit monitoring, freezing/unfreezing credit, replacement IDs, postage to contact banks, and more.

In addition, class members can file a claim form to receive up to $3,000 for unreimbursed, documented “extraordinary” losses incurred during the same time period due to the data incident. This benefit covers losses from identity theft or fraud that are not already covered by the ordinary-loss benefit.

Class members must submit proof, such as receipts, to receive an “ordinary” and/or “extraordinary” documented-loss payment.

In addition, class members can file a claim form to receive reimbursement for up to four hours of lost time spent responding to the data breach, at a rate of $25 per hour. This benefit covers activities such as changing passwords, investigating suspicious account activity, and researching the data incident.

Lastly, class members can elect on their claim form to receive one year of CyEx Financial Shield Complete, which includes credit monitoring, financial fraud insurance, and monitoring for fraud or identity theft, unauthorized financial transactions, and personal information associated with high-risk transactions.

To submit a Red Coats settlement claim form online, class members can head to this page and enter the unique ID and PIN found on their copy of the settlement notice. Alternatively, class members can download a PDF claim form to print, complete, and return by mail to the settlement administrator.

All Red Coats settlement claim forms must be submitted online or postmarked by January 7, 2027.

The court will determine whether to grant final approval to the Red Coats class action settlement following a hearing on January 4, 2027. Benefits will begin to be distributed to class members only after final approval has been granted and any appeals have been resolved.

The Red Coats class action lawsuit alleged that the Bethesda, Maryland-based commercial cleaning and facility services company failed to implement adequate cybersecurity measures to protect private information from a data breach that occurred on or around May 26, 2025.

Court documents state that private information that may have been compromised during the data breach included names, addresses, Social Security numbers, and driver’s license numbers.

Did you know that some class action settlements require no proof to submit a claim? Check out the latest open class action settlements.