California hospital system reaches $340K settlement over data breach

Salinas (Calif.) Valley Memorial Healthcare System agreed to pay $340,000 as part of a class-action settlement over claims its security system did not protect patients from a data breach, according to court documents.

Between April and June 2020, the hospital system discovered that emails belonging to four employees and a contractor had been hacked, exposing personal information including names, service locations and attending physicians. The organization disabled the emails and changed the passwords, subsequently taking steps to "try to prevent similar incidents in the future," it said.

The estimated 2,384 class members must file a valid claim form by Aug. 26 to receive a payment. Each member can receive up to $750.

Salinas Valley Memorial did not admit to wrongdoing in the lawsuit.

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