CONN.Litigation
Forty-four state attorneys general reach $2.29 million settlement with Labcorp over AMCA data breach
A bipartisan coalition of forty-four state attorneys general led by Connecticut Attorney General William Tong, with Florida, Illinois, Indiana, Michigan and Texas as co-leads, finalized an assurance of voluntary compliance with Laboratory Corporation of America Holdings on Thursday. The settlement resolved a multistate investigation into the 2019 data breach at Labcorp's debt collection vendor, American Medical Collection Agency, which exposed records of 27.5 million people. Labcorp agreed to pay $2,287,455 and implement vendor risk management and incident response safeguards.
Filing (Connecticut Office of the Attorney General) → · Office of the Attorney General of Connecticut, Pennsylvania Office of Attorney General, GovTech
Key points
- Labcorp agreed to an incident response plan mandating internal reporting and rapid notification of security incidents at third-party debt collection vendors.Connecticut Office of the Attorney GeneralPennsylvania Office of Attorney General
- The agreement supplements a 2021 multistate settlement with collection agency AMCA that included a $21 million payment suspended due to bankruptcy.Office of the Attorney General of ConnecticutGovTech
- Separately from the state settlement, Labcorp agreed to pay $35 million to resolve ongoing consolidated consumer class action litigation.Office of the Attorney General of ConnecticutPennsylvania Office of Attorney General
- Under the distribution formula, Connecticut will receive $81,296 while Pennsylvania receives $43,313 from the collective state settlement fund.Office of the Attorney General of ConnecticutPennsylvania Office of Attorney General
- The core vendor compliance and data security obligations in the agreement remain in effect for five years following the effective date.Connecticut Office of the Attorney General
Sources4 articles across 4 outlets
Connecticut Office of the Attorney General
GovTech
Office of the Attorney General of Connecticut
Pennsylvania Office of Attorney General
Filed under
LitigationConn.Pa.ComplianceConsumer protectionData protectionHealthcareLitigationFor practitionersFor governance