Interim Healthcare of Lubbock Texas Resolves Data Breach Litigation
Falcon Healthcare, also called Interim Healthcare of Lubbock, Texas offers home care and health care services. The service provider has consented to resolve class action lawsuit that was due to a hacking event that was first discovered in June 2022. An unauthorized third party got access to its computer system from April 29, 2022, until July 3, 2022, and extracted the protected health information (PHI) of 89,443 individuals.
The hacking incident resulted in the breach of data such as names, addresses, birth dates, medical insurance details, driver’s license numbers, Social Security numbers, diagnoses, laboratory data, prescription drugs, and treatment details. The affected persons were given free credit monitoring and identity theft protection services. However, Falcon Healthcare only sent data breach notification on April 25, 2025.
Falcon Healthcare is challenged by a class action lawsuit filed on May 1, 2024 in the District Court of Lubbock County, Texas. The Dawn Rice v. Falcon Healthcare, Inc. d/b/a Interim Healthcare of Lubbock, Texas litigation wanted damages for a national class of persons impacted by the incident. The litigation alleged that the breach might have been averted. The legal action mentioned claims of unjust enrichment, breach of fiduciary duty, negligence, negligence per se, and breach of implied contract.
The HIPAA-covered entity rejected all claims and arguments in the litigation, which include all statements of liability and wrongdoing. Both parties agreed on the material conditions of a settlement. They decided that a settlement was the ideal for all parties to steer clear of more legal costs and the unsure trial and corresponding appeals.
The terms of the negotiation are finalized and a federal judge approved the terms. Falcon Healthcare decided to create a $800,000 settlement fund to pay for attorneys’ charges and expenses, settlement management and notification expenditures, a service award for the class representative, and class members’ health information monitoring for two years.
Class members are allowed to get one of two benefits.
1. A claim to reimburse documented, unreimbursed expenditures as a result of data breach up to $5,000 per class member.
2. A claim for cash payment, which is determined to be $100 for every class member. The cash payment amount will be computed pro rata according to the number of filed claims. More data is posted on https://falcondatasettlement.com/
The due date to submit objection to and exemption from the settlement is January 20, 2026. Class members must file all claims on or before January 26, 2026. The final fairness hearing date is February 10, 2026.