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Health · Data breach2 min read

Washington clinic pays $4.6 million over patient data breach

A Washington medical practice will pay $4.6 million over a breach that may have exposed 583,741 people. Affected patients can claim free monitoring and cash by January 10, 2027.

By the Dashline deskSource: HIPAA Journal
Washington clinic pays $4.6 million over patient data breach
Photo: Ajay Suresh from New York, NY, USA, CC BY 2.0

Washington Gastroenterology has agreed to pay $4.6 million to settle class action lawsuits over a data breach that may have exposed the information of 583,741 people. If you received a breach notice from the practice, you may be able to claim free monitoring and a cash payment. The claim deadline is January 10, 2027.

What happened

Hackers got into the practice's computer network on October 23, 2024. The practice identified the incident on January 28, 2025. The data that may have been stolen includes names, Social Security numbers, financial and banking information, medical information and health insurance information.

Affected employees were notified on May 23, 2025. Patients were notified on August 22, 2025. Several lawsuits followed and were combined into one case in the Superior Court of Washington, County of Pierce. The suit claimed the breach could have been prevented and resulted from security failures. The practice says it did no wrong and disagrees with all of the claims.

What the settlement offers

The practice will set up a $4.6 million fund. Attorneys' fees and expenses, the cost of running the settlement and notifying people, and awards to the people who led the lawsuit come out first. What remains pays for benefits to class members, meaning the people covered by the settlement.

  • Two years of medical record and credit monitoring from a single credit bureau, open to all class members.
  • Reimbursement for documented losses from the breach that were not already repaid, up to $4,000 per person.
  • Or, instead of reimbursement, a flat cash payment estimated at $75 per person.

The $75 figure is only an estimate. It could be higher or lower depending on how many claims come in. The cash options are either/or, so a person picks one.

Dates to know

  • December 11, 2026: last day to opt out of the settlement or object to it.
  • January 10, 2027: last day to submit a claim.
  • January 29, 2027: final fairness hearing, where the court decides on final approval.

What happens next

The court has approved the settlement on a preliminary basis. The final decision comes at the January 29, 2027 hearing. Anyone who wants to keep the right to sue on their own should opt out by December 11, 2026.

The report does not say how to file a claim or where to find the settlement website. The official notice sent to affected people is the place to look. Keep records of any money lost to fraud, since the larger payment requires documentation.

The takeaway

If this clinic sent you a breach notice, file a claim by January 10, 2027 to get free monitoring and possibly cash.

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