Banner Health; LifeStance Health Group Settle Tracking Technology Lawsuits
Two healthcare providers have agreed to settle lawsuits over their use of pixels and other website tracking technologies. The tools allegedly resulted in the disclosure of patient data to the third-party providers of those tools, without the knowledge or consent of website users.
Banner Health Pixel Settlement
Banner Health is a Phoenix, Arizona-based health system that operates 33 hospitals in six U.S. states. Banner Health faced multiple class action lawsuits over its use of pixels and other tracking and analytics tools on its website between June 1, 2020, and November 22, 2023, which were alleged to have disclosed sensitive information to Meta Platforms (Facebook) and Google LLC. The lawsuits were consolidated into a single action – McCulley, et al. v. Banner Health – as they had overlapping claims. The consolidated lawsuit, which names 8 individuals as class representatives, was filed in the District Court for Weld County in the State of Colorado.
The lawsuit asserted claims for breach of confidence, violation of the Electronic Communications Privacy Act (unauthorized interception, use, and disclosure), invasion of privacy-intrusion upon seclusion, unjust enrichment, violations of the Arizona Consumer Fraud Act, California Invasion of Privacy Act, California Confidentiality of Medical Information Act, California Unfair Competition Law, and Colorado Consumer Protection Act. Banner Health denies any wrongdoing and liability.
All parties agreed to a settlement to bring the litigation to an end, and avoid further legal costs and expenses and the uncertainty of a trial. There are approximately 1,028,000 individuals in the settlement class, which consists of individuals who logged into a Banner Health patient account (MyBanner patient portal) between June 1, 2020, and November 22, 2023.
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Banner Health has agreed to pay attorneys’ fees and expenses (up to $3,750,000), settlement administration costs, and service awards of $2,500 to each of the 8 class representatives. All class members are entitled to claim a one-time cash payment of $20 and are eligible to receive a one-year membership for the CyEx Privacy Shield Pro service. The deadline for objection, opting out, and submitting a claim is September 5, 2026. The final fairness hearing has been scheduled for September 10, 2026.
LifeStance Health Group Pixel Settlement
LifeStance Health Group is a Scottsdale, Arizona provider of outpatient behavioral health services. Two class action lawsuits were filed alleging that the defendant disclosed information about individuals’ physical and mental health and other sensitive patient information to third parties via tracking tools on its website. The plaintiffs alleged that the tools were used without their knowledge or consent. The lawsuits were consolidated into a single action – Montana Strong, et al. v. LifeStance Health Group Incorporated – in the United States District Court for the District of Arizona.
The lawsuit asserted claims for violation of the California Invasion of Privacy Act, California Confidentiality of Medical Information Act, Electronic Communications Privacy Act (unauthorized interception, use, and disclosure), California Unfair Competition Law, Arizona Consumer Fraud Act, New York General Business Law, and common law invasion of privacy-intrusion upon seclusion. LifeStance Health Group denies all claims and contentions in the lawsuit, including claims of liability and wrongdoing. All parties agreed to a settlement to avoid the cost and distraction of continuing with the litigation and the uncertainty of a trial.
There are two settlement subclasses. Subclass 1 includes all individuals who booked at least one session through the LifeStance online booking tool, accessed through the lifestance.com website, between March 1, 2020, and April 30, 2023. Settlement subclass 2 consists of other members of the LifeStance patient population between the same dates, who are not members of subclass 1.
LifeStance has agreed to establish a $3,027,874.44 settlement fund, which will be split into a subclass 1 fund of $1,203,405.00 and a subclass 2 fund of $1,824,469.44. Attorneys’ fees and expenses and other costs such as settlement administration expenses and service awards for the class representatives will be deducted from those settlement funds. The remainder will be paid to individuals who submit a valid claim.
LifeStance has agreed to discontinue the use of all third-party tracking tools, other than tools that are fully compliant with the HIPAA Rules, for a period of five years from the settlement date. The deadline for objection and opting out is August 31, 2026. Claims must be submitted by September 29, 2026, and the final approval hearing has been scheduled for October 16, 2026.
