Continuum Health Alliance Settles Class Action Data Breach Lawsuit
Marlton, NJ-based Continuum Health Alliance, a provider of health management and patient services, has agreed to a settlement to resolve a consolidated class action lawsuit stemming from an October 2023 data breach that affected more than 377,000 patients of its client, Evesham, NJ-based Consensus Medical Group.
Unusual activity was identified within Continuum’s computer network on October 19, 2023. The investigation confirmed unauthorized access between October 18 and October 19, 2023, and the acquisition of files containing patient information, including names and Social Security numbers. The affected individuals were notified about the data breach in April 2024.
The first class action lawsuit was filed on May 3, 2024, by plaintiff Jason Corner, followed by several other complaints. The lawsuits had overlapping claims and were consolidated in a single complaint – In re Continuum Health Data Security Incident Litigation – which was filed on March 14, 2025, in the Superior Court of New Jersey Law Division, Burlington County.
The consolidated class action lawsuit asserted claims of negligence, negligence per se, breach of implied contract, breach of fiduciary duty, breach of third-party beneficiary contract, unjust enrichment, and violations of the New Jersey Consumer Fraud Act. The defendants deny all liability and wrongdoing; however, following mediation, the material terms of a settlement were agreed upon. All parties believe that a settlement is the best outcome, thereby avoiding the costs, expenses, distractions, burden, and disruption of continued litigation and the uncertainties of a trial and related appeals.
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The defendants have agreed to take steps to improve security and update their business practices to better protect patient data. Claims may be submitted for reimbursement of out-of-pocket losses due to the data breach, or a cash payment may be claimed as an alternative benefit. Claims for reimbursement of documented, unreimbursed losses have been capped at $5,000 per class member. The alternative cash payment is expected to be $75 per class member, and is subject to a pro rata increase to exhaust the settlement fund. In addition, all class members may claim a complimentary 2-year membership to a single-bureau medical data monitoring service.
The deadline for opting out of and objection to the settlement is February 17, 2026. Claims must be submitted by March 2, 2026, and the final fairness hearing has been scheduled for March 16, 2026. Further information about the settlement can be found on the settlement website: https://continuumhealthdataincidentsettlement.com/
