Albany Gastroenterology Consultants Agrees to Settle Data Breach Litigation
Albany Gastroenterology Consultants, PLLC has agreed to settle litigation stemming from a November 2024 security incident that potentially exposed the personally identifiable information (PII) and protected health information (PHI) of 57,751 individuals.
The security incident occurred on or around November 10, 2024, when hackers gained access to the network of Albany Gastroenterology Consultants, New York, a HIPAA-covered gastroenterology practice. The network stored PII and PHI belonging to impacted individuals. The information potentially compromised included names, addresses, medical records, medical insurance information, and Social Security numbers. Affected individuals began receiving breach notifications about the incident on January 28, 2025.
Class Action Litigation Against Albany Gastroenterology Consultants
In response to the data breach, multiple class action lawsuits were filed against Albany Gastroenterology Consultants in the Supreme Court of the State of New York, County of Albany. The defendant filed a motion to dismiss, and the plaintiffs filed their response. The parties then agreed to join in settlement discussions.
The New York state actions were voluntarily dismissed and the amended Clements v. Albany Gastroenterology Consultants, PLLC lawsuit was filed with the Circuit Court for the Eleventh Judicial Circuit in and for Miami-Dade County, Florida. The negotiated settlement has received preliminary approval from the court.
Settlement Terms
Albany Gastroenterology Consultants will pay attorneys’ fees and expenses and service awards for the class representatives. using a $200,00 settlement fund.
Class members may claim for a refund of documented, unreimbursed losses resulting from the data breach. Reimbursement is available up to $2,500 per class member. Class members may instead submit a claim for a one-time cash payment expected to be around $10 per class member. The $200,000 settlement fund will be divided equally between the two cash payments. If claims for either payment exceed the $100,000 allocated to that payment, claims will be paid pro rata.
The settlement also provides a 2-year membership in a credit monitoring and medical data monitoring service to eligible class members.
The deadline for class members to object to the settlement or opt out is August 21, 2026. Claims must be submitted by October 5, 2026. The final approval hearing is scheduled for September 22, 2026.