Court grants Final Approval to $6.49 million Settlement in CorrectCare Data Breach Case
CorrectCare Data Breach
CorrectCare Integrated Health, LLC experienced a cybersecurity incident that compromised its network between January 22, 2022 and July 7, 2022. CorrectCare is a third-party administrator that facilitates access to medical providers and manages the payment of medical claims for certain correctional facilities.
The incident impacted sensitive information including names, dates of birth, inmate numbers, and limited health information, including diagnosis codes, CPT codes, treatment providers, dates of treatment, and, for some individuals, Social Security numbers. The data breach exposed approximately 600,000 individuals, namely current and formerly incarcerated patients. Those impacted by the breach were incarcerated individuals seeking treatment between January 1, 2012 and July 7, 2022.
Shub & Johns filed a class action lawsuit against CorrectCare on December 7, 2022 in the United States District Court for the Eastern District of Kentucky. The Court subsequently appointed S&J partner Benjamin F. Johns as one of the co-lead counsel for the Plaintiffs and the putative class. On March 24, 2023, the Plaintiffs filed a Consolidated Amended Complaint, which CorrectCare later sought to have dismissed.
Final Approval of the $6.49 Million Settlement
After arm’s length negotiations through formal mediation, a tentative settlement was reached between Plaintiffs and CorrectCare.
On April 29, 2024, The Kentucky Court granted preliminary approval for a $6.49 million class action settlement in the consolidated CorrectCare data breach litigation following Plaintiffs’ motion for settlement. The Court also appointed Shub & Johns attorney Benjamin F. Johns as Settlement Co-Class Counsel. Impacted Consumers were notified and given the opportunity to submit a claim through August 27, 2024.
On September 17, 2024, Chief Judge Danny C. Reeves of Kentucky’s Eastern District issued an order granting final approval to the $6.9 million settlement. Class members who submitted a valid claim for compensation can expect to receive their portion of the settlement fund in the months following the Court’s order.
The case is In re CorrectCare Data Breach Litigation, No. 5:2022-cv-00319. You can review the Final Approval Order Here.
