Staten Island University Hospital Settles Lawsuit Over Business Associate Data Breach
Staten Island University Hospital (SIUH) in New York has agreed to settle a class action lawsuit over a 2024 data breach involving one of its business associates. The data breach occurred in January 2024 at The Medibase Group Inc., a vendor that provides healthcare solutions, technical assistance, and business office solutions. On or around May 8, 2024, The Medibase Group notified SIUH that an unauthorized third party had gained access to Medibase systems, which contained the protected health information of 35,106 individuals. Data compromised in the incident included names, Social Security numbers, dates of birth, medical information, and health insurance information. Notification letters were mailed to the affected individuals on July 5, 2024.
A class action lawsuit was filed by plaintiffs Belle De Santiago and Elena Girenko over the data breach – Santiago et al. v. Staten Island University Hospital – in the Superior Court of Cherokee County for the State of Georgia. The lawsuit alleged the data breach was the result of the defendant’s failure to implement reasonable and appropriate security measures to protect sensitive patient data.
The lawsuit asserted claims of negligence/negligence per se, breach of implied contract, and unjust enrichment. SIUH denies all claims of wrongdoing, fault, and liability; however, it agreed to a settlement to avoid the litigation costs and expenses, distractions, burden, expense, and disruption to its business operations associated with further litigation. Class counsel and the lead plaintiffs believe the negotiated settlement is reasonable and fair.
Class members may submit a claim for two years of medical data monitoring services, which include a $1 million identity theft insurance policy. In addition, a claim may be submitted for cash payments. A claim can be submitted for compensation for documented, unreimbursed out-of-pocket losses due to the data breach up to a maximum of $1,000 per class member. A claim may also be submitted for a $35.00 flat cash payment. The deadline for exclusion and opting out is March 2, 2026. The deadline for submitting a claim is March 16, 2026, and the final fairness hearing has been scheduled for March 31, 2026.
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