Cerebral & RAYUS Radiology Settle Pixel Lawsuits
Settlements have received preliminary approval to resolve litigation against the mental health telehealth company Cerebral and the diagnostic imaging company RAYUS Radiology over their use of website tracking tools. The lawsuits alleged the unlawful disclosure of personal and protected health information to Meta, Google, and other third parties without users’ knowledge or consent.
Cerebral Pixel Settlement
Cerebral Inc., a provider of subscription-based online mental healthcare, has agreed to pay $500,000 to settle a 2023 class action complaint over its use of web analytics technologies such as pixels. The lawsuit – Doe I and Doe II v. Cerebral, Inc. – alleged that the tools disclosed Cerebral account holders’ personally identifiable and protected health information to third parties.
Cerebral denies all wrongdoing and liability and disagrees with the claims asserted in the class action complaint, while class counsel and the class representatives believe that their claims have merit. All parties have considered the strengths and weaknesses of the case from both sides and agree that a settlement is in the best interests of all parties to avoid the time, costs, and risks associated with continuing the litigation.
The settlement provides two benefits for class members: Claims may be submitted for a one-time cash payment as compensation for the privacy violation, which will be paid pro rata once all costs and expenses have been deducted from the settlement fund. In addition, class members are entitled to a $300 credit toward a self-pay Cerebral Therapy & Medication plan. The class consists of California residents who received a notification letter from Cerebral on or around March 6, 2023, about the data breach.
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The cash payments are capped at approximately $267,000 – the remainder of the settlement after attorneys’ fees (up to $198,000), expenses (up to $25,000), and service awards (up to $10,000) have been deducted from the $500,000 settlement fund. The settlement has received preliminary approval from the court, and the final fairness hearing is scheduled for March 9, 2026. Individuals wishing to object to the settlement or exclude themselves have until December 23, 2025, to do so, and claims must be submitted by January 22, 2026.
Diagnostic Services Holdings (RAYUS Radiology) Pixel Settlement
A settlement has received preliminary approval from the court to resolve litigation against Diagnostic Services Holdings, Inc., doing business as RAYUS Radiology, over its use of pixels and other tracking tools. The tools are alleged to have unlawfully disclosed patients’ personally identifiable information to Meta (Facebook) and other third parties without their knowledge or consent.
The first lawsuit – Jennifer Fleece v. Diagnostic Services Holdings, Inc. d/b/a RAYUS Radiology – was filed in Marion County Superior Court, Indiana, in May 2023, and a further lawsuit – Christensen, et. al. v. Diagnostic Services Holdings, Inc. d/b/a RAYUS Radiology – was filed in Federal District Court for the District of Minnesota in August 2023.
The lawsuits assert claims of negligence, invasion of privacy, breach of implied contract, unjust enrichment, breach of fiduciary duty, and violations of the Indiana Deceptive Consumer Sales Act, Indiana Code § 24-5-0.5-1 to 12, Texas Medical Practices Act, Tennessee Consumer Protection Act, Tennessee Wiretapping and Electronic Surveillance Act, Minnesota Uniform Deceptive Trade Practices Act, Minnesota Consumer Fraud Act, and the Minnesota Health Records Act.
RAYUS Radiology denies all wrongdoing and believes that it would have prevailed at trial; however, after considering the uncertainty, risks, and expense of continuing with the litigation, the decision was taken to settle the litigation. Class counsel and the class representatives agreed to settle for similar reasons. The settlement provides a cash payment of $25 for each class member and a complimentary membership to a Privacy Shield Pro product. The defendant has also agreed to cover attorneys’ fees and expenses, notice and settlement administration costs, and service awards for the three class representatives. The deadline for submitting a claim is January 29, 2026. The final approval hearing has been scheduled for December 18, 2025.
