American Clinical Solutions Facing Class Action Lawsuit Over Data Breach

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American Clinical Solutions (ACS) faces a proposed class action lawsuit over a data breach that reportedly compromised the private information of its clients’ current and former patients earlier this year.

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The 54-page data breach lawsuit says ACS, a provider of drug testing services to the healthcare industry, reported to the U.S. Department of Health and Human Services around July 24, 2024 that a “hacking/IT incident” affecting its network server had impacted approximately 300,000 individuals.

The defendant’s report conflicts with an announcement from the ransomware group RansomHub, which claims it infiltrated ACS’s systems in mid-May 2024 and stole the data of more than 500,000 individuals who had samples tested for prescription and narcotic drugs, the case relays. The hacker group also demanded ransom payment by May 25 to prevent the publication of the stolen data, the complaint shares.

The American Clinical Solutions data breach lawsuit alleges the compromised information includes patients’ names, dates of birth, genders, phone numbers, Social Security numbers, patient IDs, doctor’s names, the names of clinics that requested the tests, laboratory results and health insurance information.

According to the case, the incident stemmed from the company’s failure to implement reasonable cybersecurity measures.

“[The defendant] failed to adequately protect [the plaintiff’s] and class members’ private information––and failed to even encrypt or redact this highly sensitive information,” the suit contends. “This unencrypted, unredacted private information was compromised due to [the defendant’s] negligent and/or careless acts and omissions and their utter failure to protect its customers’ sensitive data.”

The complaint says ACS has yet to send data breach notice letters to victims, who now face a long-lasting and severe risk of identity theft and fraud due to the exposure of their sensitive information.

The American Clinical Solutions lawsuit looks to represent anyone in the United States whose private information was compromised in the data breach.

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