American Medical Collection Agency Data Breach Settlement

Sonic Healthcare, Aurora Diagnostics, Clinical Pathology Laboratories, and Austin Pathology Associates agreed to a $6.4 million class action settlement to resolve claims related to a data breach involving the American Medical Collection Agency (AMCA). The AMCA is described as a third-party debt collector that assists healthcare providers in collecting patient payments. In 2019, the AMCA reported that its systems were accessed by hackers, resulting in the theft of sensitive patient information from various healthcare providers, including the defendants.

The class action lawsuit alleged that the companies failed to implement reasonable safeguards to protect patient data, holding them responsible for the resulting risks such as identity theft and fraud. The plaintiffs contended that the defendants were negligent in protecting this sensitive information.

The defendants have not admitted any wrongdoing but agreed to the settlement. Class members can receive a cash payment, with those who suffered out-of-pocket losses potentially receiving up to $5,000 for expenses like unreimbursed costs or lost time. All class members are entitled to two years of free medical and healthcare information monitoring services. To participate, class members must submit a valid claim form by January 4, 2027, as the deadline for exclusion and objection is December 3, 2026.