California physician group agrees to $50M settlement of data breach lawsuit

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Heritage Provider Network, a physician-owned integrated healthcare group, has agreed to a $49.99 million settlement to resolve class-action litigation regarding a cyberattack, according to an Oct. 15 report from The HIPAA Journal.

The lawsuit stems from a December 2022 data breach that affected more than 3.4 million individuals. Hackers gained access to Heritage’s servers containing patient data and removed sensitive data such as names, addresses, dates of birth, Social Security numbers and healthcare information.

The plaintiffs in the lawsuit claim that Heritage was negligent for failing to implement reasonable security measures. 

Heritage, Regal Medical Group and eight other co-defendants have maintained that there is no wrongdoing or liability. 

The settlement has received preliminary approval from the court, the report said.

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