25% off all training courses Offer ends May 29, 2026
View HIPAA Courses
25% off all training courses
View HIPAA Courses
Offer ends May 29, 2026

The HIPAA Journal is the leading provider of HIPAA training, news, regulatory updates, and independent compliance advice.

Drug and Alcohol Treatment Services Facing Multiple Class Action Data Breach Lawsuits

A Pennsylvania non-profit provider of drug and alcohol addiction services is facing multiple class action lawsuits over an October 2024 ransomware attack. Drug and Alcohol Treatment Services, Inc. (DATS), based at 441 Wyoming Avenue in Scranton, PA, identified unauthorized access to its computer network on October 6, 2024. The forensic investigation confirmed that an unauthorized third party had access to the protected health information of 22,215 individuals between October 5 and October 6, 2024. Data compromised in the incident included patient names, dates of birth, medical histories, treatment information, health insurance information, medical claims information, billing information, Social Security numbers, and financial information.

The data breach was confirmed by DATS on December 5, 2024; however, notification letters were not sent to the affected individuals until May 2, 2025. DATS said it was unaware of any misuse of the stolen data at the time of issuing notification letters and offered the affected individual complimentary credit monitoring and identity theft protection services. The notification letters did not state the exact nature of the cyberattack; however, the Interlock ransomware group claimed responsibility for the attack and said 150 GB of data was stolen. The ransom was not paid, so the group published the stolen data on its data leak site. The group claims the leaked files include the personal data of employees and patients.

Currently, at least eight class action lawsuits have been filed against DATS over the data breach. The lawsuits make similar claims, including negligence for failing to protect its information technology systems and sensitive patient and employee data. The lawsuits claim the data breach could have been prevented if DATS had implemented reasonable security measures and adhered to industry-standard data security practices. The lawsuits also claim that DATS did not provide timely notifications to the affected individuals, who were informed that their sensitive data had been stolen seven months after the data breach. The lawsuits claim the notification delay deprived the plaintiffs and class members of the opportunity to take action to mitigate the harmful effects of the data breach. The lawsuits also assert claims of breach of confidence, breach of implied contract, breach of fiduciary duty, unjust enrichment, and invasion of privacy.

The lawsuits seek class certification, a jury trial, damages, attorneys’ fees, reimbursement of legal costs and expenses, and injunctive relief, including an order from the court compelling DATS to implement measures to improve security.

Get The FREE
HIPAA Compliance Checklist

Immediate Delivery of Checklist Link To Your Email Address

Please Enter Correct Email Address

Your Privacy Respected

HIPAA Journal Privacy Policy

Author: Steve Alder is the editor-in-chief of The HIPAA Journal. Steve is responsible for editorial policy regarding the topics covered in The HIPAA Journal. He is a specialist on healthcare industry legal and regulatory affairs, and has 10 years of experience writing about HIPAA and other related legal topics. Steve has developed a deep understanding of regulatory issues surrounding the use of information technology in the healthcare industry and has written hundreds of articles on HIPAA-related topics. Steve shapes the editorial policy of The HIPAA Journal, ensuring its comprehensive coverage of critical topics. Steve Alder is considered an authority in the healthcare industry on HIPAA. The HIPAA Journal has evolved into the leading independent authority on HIPAA under Steve’s editorial leadership. Steve manages a team of writers and is responsible for the factual and legal accuracy of all content published on The HIPAA Journal. Steve holds a Bachelor’s of Science degree from the University of Liverpool. You can connect with Steve via LinkedIn or email via stevealder(at)hipaajournal.com

x

Is Your Organization HIPAA Compliant?

Find Out With Our Free HIPAA Compliance Checklist

Get Free Checklist