Change Healthcare loses bid to keep cyberattack lawsuits in Tennessee

The 49 lawsuits filed against Change Healthcare alleging the company failed to protect patient information during a February ransomware attack will be consolidated in Minnesota instead of Tennessee, where the company is based, according to a Reuters report.

Advertisement

Change Healthcare, an Optum company owned by UnitedHealth Group, requested cases be consolidated in Tennessee. However, the federal Judicial Panel on Multidistrict Litigation ordered all cases centralized in Minnesota as factual and legal issues between the consumer and provider cases are similar, according to the report.

Nineteen of the lawsuits were brought on behalf of individuals affected by the data breach and 30 lawsuits were filed by healthcare providers who said they weren’t paid for services rendered during the attack.

Change previously stated in an April court filing that the lawsuits hinge on an “incorrect and unfounded theory” assuming the company’s cybersecurity measures were deficient and patients were harmed just because the attack happened, according to Reuters.

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Advertisement

Next Up in Cybersecurity

Advertisement

Comments are closed.