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You may have received Notice of this Settlement because records show that you received notice from PHS that your PII and/or PHI was potentially compromised in the Data Incident discovered by PHS around June 6, 2019. If these records are correct, you are a Settlement Class Member and you may be entitled to receive Settlement benefits if you submit a Valid Claim to the Claims Administrator before the Claims Deadline, and if the Court grants final approval of the Settlement. You also have other options as described in this Notice.
In a class action lawsuit, one or more people
called “Class Representatives” (in this case, Jesse Martinez, Kyra Nieto,
Michael O. Garcia, and Juan Gonzales) sue on behalf of other people who have
similar claims. The people together are a “class.” The entity they sued (in
this case, PHS) is called the Defendant. One court resolves the issues for every member of the “class” who does
not exclude himself/herself.
The Parties have agreed and the Court has preliminarily decided that this lawsuit can proceed as a class action (for settlement purposes only) because it meets the requirements of State of New Mexico District Court Rule of Civil Procedure 1-023. Specifically, the Court found that, for settlement purposes only, there are a sufficient number of people who may have been affected by the Data Incident at issue in this case, there are legal questions common to each of them, any claims or defenses of the representative parties are typical to those of the class, the Class Representatives will fairly and adequately represent the Settlement Class’s interests; and this class action will be more efficient than having many individual lawsuits.
Chief Judge Marie Ward of the Second Judicial District of Bernalillo County, New Mexico is overseeing this class action. The case is known as Martinez, et al. v. Presbyterian Healthcare Services, Case No. D-202-CV-2020-01578, pending in the Second Judicial District of Bernalillo County, New Mexico. The individuals who sued are called the “Plaintiffs” and the company those individuals sued, PHS, is known as the Defendant in this case.
Plaintiffs filed a lawsuit against the Defendant, individually, and on behalf of anyone whose PII and/or PHI, as defined in the Health Insurance Portability and Accountability Act of 1995, 42 U.S.C. §§ 1320d et seq., was potentially compromised as a result of the Data Incident. The Litigation arises out a third party’s unauthorized access of certain employee email boxes that PHS maintained and that contained PII and PHI of certain current and former patients and/or health plan members.
Defendant denies wrongdoing and liability in connection with the Litigation. The Court has not made any ruling on the merits of this case. To resolve this matter without the expense, delay, and uncertainties of continued litigation, the Parties have reached a Settlement, which resolves all claims against Defendant. The Settlement is not in any way an admission of wrongdoing or liability by Defendant and does not imply that there has been, or would be, any finding that Defendant violated the law. The Court has already preliminarily approved the Settlement. Nevertheless, because the settlement of a class action determines the rights of all members of the class, the Court overseeing this Litigation must give final approval to the Settlement before it can be effective. The Court has certified the Settlement Class for settlement purposes only and subject to final approval of the Settlement, so that members of the Settlement Class can be given this Notice and the opportunity to submit a Settlement Claim, object, or exclude themselves from the Settlement Class. If the Court does not grant final approval of the Settlement, or if it is terminated by the Parties, the Settlement will be terminated, and the Litigation will proceed as if there had been no settlement and no certification of the Settlement Class.
You are included in the Settlement if you were mailed notification by PHS that your PII and/or PHI was potentially compromised in PHS’s Data Incident. You will be considered a Settlement Class Member unless you timely opt-out of the Settlement. If you are not sure whether you are included or have any other questions about the Settlement, you may read the court documents on the Documents page of this website, call toll free (833) 630-6292, or write to the address below:
PHS Settlement
c/o Kroll Settlement Administration
P.O. Box 5324
New York, NY 10150-5324
The proposed Settlement will provide the following benefits to Settlement Class Members:
Expense Reimbursement
1) Documented Out-of-Pocket Expenses: All Settlement Class Members are eligible for reimbursement for the following documented Out-of-Pocket Expenses that must be fairly traceable to the Data Incident, not to exceed an aggregate total of $750 per Settlement Class Member: (i) long distance telephone charges; (ii) cell phone minutes (if charged by the minute), Internet usage charges (if charged by the minute or by the amount of data usage incurred solely as a result of the Data Incident), and text messages (if charges by the message and incurred solely as a result of the Data Incident); (iii) postage; (iv) documented costs associated with miscellaneous expenses such as notary, fax, postage, copying, and mileage; (v) documented costs associated with credit freezes; (vi) and documented costs of credit-monitoring services active between receiving notice of the Data Incident and the date credit monitoring becomes available under this Settlement (collectively, “Out-of-Pocket Expenses”).
2) Lost Time: Settlement Class Members are also eligible to receive reimbursement for up to three (3) hours of Lost Time spent remedying issues fairly traceable to the Data Incident (calculated at $15 per hour), but only if the Settlement Class Member attests under penalty of perjury that any claimed Lost Time was spent in connection with efforts to remedy issues fairly traceable to the Data Incident; and (ii) provides a written description of how the claimed Lost Time was spent in connection with efforts to remedy issues fairly traceable to the Data Incident. Claims made for Lost Time can be combined with reimbursement for the above-referenced Out-Of-Pocket Expenses, and are subject to the same total aggregate cap of $750 per Settlement Class Member.
3) Documented Extraordinary Expenses: Settlement Class Members can also receive reimbursement in an amount not to exceed $5,000 per Settlement Class Member for their documented Extraordinary Expenses to the extent not already covered by Out-of-Pocket Expenses if their identity was stolen as a result of the Data Incident. Settlement Class Members must provide sufficient documentary proof that their identity was stolen as a result of the Data Incident to be eligible for the following Extraordinary Expenses, which include (i) documented professional fees and other costs incurred to address actual identity fraud or theft; (ii) other documented unreimbursed losses, fees, or charges incurred as a result of actual identity fraud or theft, including, but not limited to (a) unreimbursed bank fees, (b) unreimbursed card reissuance fees, (c) unreimbursed overdraft fees, (d) unreimbursed charges related to unavailability of funds, (e) unreimbursed late fees, (f) unreimbursed over-limit fees, (g) unreimbursed charges from banks or credit card companies, and (h) interest on payday loans due to card cancellations or due to over-limit situations (“Extraordinary Expenses”).
4) Twelve Months of Credit Monitoring Services: Defendant agrees to offer twelve (12) months of credit monitoring to all Settlement Class Members. The credit monitoring will be provided through Experian IdentityWorks. The credit monitoring services include three-bureau credit monitoring and $1,000,000 reimbursement insurance for losses due to identity theft and stolen funds.
Reimbursement Terms: To receive compensation for Out-of-Pocket Expenses, Extraordinary Expenses, or Lost Time, you must submit a Valid Claim along with any necessary supporting documentation (other than an adequate written description for Lost Time) by May 16, 2024, as outlined in the Settlement Agreement. For Extraordinary Expenses and Out-of-Pocket Expenses, the Settlement Class Member must submit reasonable documentation reflecting that the Out-of-Pocket Expenses claimed were both actually incurred and fairly traceable to the Data Incident and have not otherwise been reimbursed by another source. This documentation must include receipts or similar documentation, not to be “self-prepared” by the Settlement Class Member, that documents the costs incurred. “Self-prepared” documents, such as handwritten receipts, by themselves are insufficient to receive reimbursement. For the Lost Time claimed by Settlement Class Members, the Settlement Class Member must provide an attestation under penalty of perjury indicating that the time claimed was spent in connection with remedying issues fairly traceable to the Data Incident and a written description of how the claimed Lost Time was spent in connection with remedying issues fairly traceable to the Data Incident. Settlement Class Members who submit claims for Out-of-Pocket Expenses and Extraordinary Expenses must exhaust all reimbursement insurance benefits covering losses due to identity theft and stolen funds available to them in connection with the credit monitoring protections already provided by PHS before PHS is responsible for any Out-of-Pocket or Extraordinary Expenses claimed, as outlined in the Settlement Agreement. You can review the Claim Form here to see an explanation of the types of loss that will be considered, as well as specific documentation requirements.
Credit Monitoring Terms: To receive twelve (12) months of credit monitoring services provided by Defendant, Settlement Class Members must submit a Valid Claim before the Claims Deadline, as outlined in the Settlement Agreement. After the Settlement becomes Effective, Settlement Class Members who have submitted Valid Claims will receive an email from the Claims Administrator with additional information about how to enroll for the credit monitoring services benefit. If the Settlement Class Member submits a Valid Claim in hardcopy for credit monitoring, that Settlement Class Member will receive additional information about how to enroll in credit monitoring via the United States Postal Service. He or she must elect to enroll in credit monitoring services to receive this benefit. He or she may claim the credit monitoring services benefit regardless of whether he or she claims reimbursement for any other benefits under the Settlement. This benefit does not require the Settlement Class Member to submit any evidence or explanation.
Remedial Measures: The Settlement also provides remedial relief for all Settlement Class Members, regardless of whether you make a Settlement Claim in the Settlement. Specifically, Defendant has made certain systems or practice changes to mitigate the risk of similar data incidents.
Fees, Costs, and Expenses Associated with the Settlement: As outlined in the Settlement Agreement, PHS agrees (1) to pay the attorneys’ fees, costs, and expenses incurred by Class Counsel in the Action, as approved by the Court, in an amount not to exceed nine hundred thousand dollars ($900,000); and (2) not to contest a request for service awards of up to three thousand five hundred dollars ($3,500) to each Class Representative.
For those Settlement Class Members entitled to a cash payment, the exact amount of such payment is unknown at this time and may vary depending on several factors, as outlined above and in the Settlement Agreement. Pursuant to the terms of the Settlement Agreement, the Claims Administrator will calculate the final amount that is due to each eligible Settlement Class Member and shall pay each eligible Settlement Class Member who timely returns a completed Valid Claim Form and who does not actively exclude himself or herself from the Settlement Class and who otherwise qualifies for payment pursuant to the terms of the Settlement Agreement.
If you are an eligible Settlement Class Member and you do not opt-out of the Settlement, and if you wish to receive compensation from the Settlement, then you must make a Valid Claim by May 16, 2024, consistent with the Settlement Agreement.
Claims must be filed by May 16, 2024 and can be filed online by clicking here or by mailing your Claim Form to the Claims Administrator at the following address:
PHS Settlement
c/o
Kroll Settlement Administration
P.O.
Box 5324
New York, NY 10150-5324
You may also contact the Claims Administrator with questions by calling toll-free (833) 630-6292, or by using the contact form by clicking here. Claim Forms submitted after May 16, 2024 will not be paid.
The Claims Administrator will issue a payment to each Settlement Class Member entitled to compensation under the Settlement Agreement either within sixty (60) days of the Effective Date or within thirty (30) days of the date that the last claim is approved, whichever is later. If there is an appeal of the Settlement, payment may be delayed. Cashing a Settlement check or accepting an electronic payment under the Settlement is a condition precedent to any Settlement Class Member’s right to receive Settlement benefits. All Settlement payments shall be void ninety (90) days after issuance. If a payment becomes void, the Settlement Class Member shall have until six (6) months after the Effective Date to request re-issuance.
Counsel for the Parties cannot predict exactly when (or whether) the Court will give final approval to the Settlement, so please be patient. Updated information about the case can be obtained through Class Counsel at the telephone number or email address provided below.
If you do nothing, you will not get any benefit from the Settlement, you will not be able to sue for claims in this case, and you release the claims against the PHS and Released Entities, as outlined in the Settlement Agreement.
If you already have your own lawsuit against Defendant about the same claims in this Litigation and want to continue with it, you need to ask to be excluded from the Settlement Class. If you exclude yourself, you will not be legally bound by the Court’s judgment of dismissal in this case. If you start your own lawsuit against Defendant after you exclude yourself, you’ll have to hire and pay your own lawyer for that lawsuit, and you’ll have to prove your claims. If you do exclude yourself so you can start or continue your own lawsuit against Defendant, you should talk to your own lawyer.
You have the right to exclude yourself from (i.e., “opt out” of) the Settlement Class. If you exclude yourself, you will not be eligible to receive any compensation and/or credit monitoring services benefits from the Settlement, and you cannot object to the Settlement. You will not be legally bound by anything that happens in the Litigation, and you will keep your right to sue the Defendant on your own for the claims that this Settlement resolves.
To exclude yourself from the Settlement Class, you must sign and timely submit written notice of such intent to the designated Post Office box established by the Claims Administrator. The written notice must clearly manifest your intent to be excluded from the Settlement Class. All Opt-Outs must be submitted, signed, and mailed to the Claims Administrator and postmarked no later than the Opt-Out Date of April 16, 2024. If you return a late request for exclusion, the request will be deemed invalid, and you will remain a Settlement Class Member and will be bound by all of the terms of the Settlement.
YOU CANNOT EXCLUDE YOURSELF BY TELEPHONE OR BY SENDING AN EMAIL.
DO NOT SUBMIT BOTH A CLAIM FORM AND A REQUEST FOR EXCLUSION. IF YOU SUBMIT BOTH A CLAIM FORM AND A REQUEST FOR EXCLUSION, YOUR CLAIM FORM WILL BE DISREGARDED.
You have the right to object to the Settlement if you wish. To object, you must file a written statement with the Clerk of the Court, located at 400 Lomas Boulevard NW, Room 119, 1st Floor, Albuquerque, NM 87102, containing the case name and docket number Martinez, et. al. v. Presbyterian Healthcare Services, Case No. D-202-CV-2020-01578, no later than the Objection Date of April 16, 2024, and served concurrently therewith upon Class Counsel, Lynn A. Toops, Cohen & Malad, LLP, 1 Indiana Square, Suite 1400, Indianapolis, IN 46204; and counsel for PHS, Kenneth L. Chernof, Arnold & Porter Kaye Scholer LLP, 601 Massachusetts Avenue, NW, Washington, D.C., 20001-3743. You must mail a copy of your objection to the following three places postmarked no later than April 16, 2024:
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Your objection must include: (i) the objector’s full name, address, telephone number, and e-mail address (if any); (ii) information identifying the objector as a Settlement Class Member, including proof that the objector is a member of the Settlement Class (e.g., copy of notice, copy of original notice of the Data Incident); (iii) a written statement of all grounds for the objection, accompanied by any legal support for the objection the objector believes applicable; (iv) the identity of any and all counsel representing the objector in connection with the objection; (v) a statement as to whether the objector and/or his or her counsel will appear at the Final Fairness Hearing; (vi) the objector’s signature and the signature of the objector’s duly authorized attorney or other duly authorized representative (along with documentation setting forth such representation); and (vii) a list, by case name, court, and docket number, of all other cases in which the objector and/or the objector’s counsel has filed an objection to any proposed class action settlement within the last three (3) years.
You will not be excluded from the Settlement by filing an objection. If you have submitted a request for exclusion from the Settlement, you cannot file an objection.
Any attorney you may hire for the purpose of making an objection must file his or her entry of appearance on or before April 16, 2024. The entry of appearance shall be filed with the Clerk of the Court with a copy served upon Class Counsel and counsel for PHS.
Any Settlement Class Member who does not timely file and serve this written objection will not be permitted to raise an objection, except for good cause shown, and any Settlement Class Member who fails to object in the manner described above will be deemed to have waived objections to the claim and will be foreclosed from raising any objections.
For purposes of this Settlement, the Class
Representatives and the Settlement Class are represented by Class Counsel. Class
Counsel is comprised of Gerard Stranch IV of Branstetter, Stranch &
Jennings PLLC, Lynn A. Toops of Cohen & Malad, LLP, and David Lietz of Milberg
Coleman Bryson Phillips Grossman, PLLC.
You will not be personally charged for their work
on the case. If you want to be represented by your own lawyer, you may hire one
at your own expense.
Yes. Unless you affirmatively exclude yourself, you will agree to the “Release” of claims as described in Section 6 of the Settlement Agreement. That means that you cannot sue, continue to sue, or be part of any other lawsuit against Defendant or other Released Entities for any of the Released Claims. It also means that the Court’s orders will apply to you and legally bind you. You may view the Settlement Agreement for the full language of the claims you will give up if you remain in the Settlement by requesting a copy from the Claims Administrator or viewing it on the documents page of this site by clicking here.
The Court has already granted preliminary approval of the Settlement. The Court will hold a Final Fairness Hearing before the Honorable Marie Ward, Chief Judge, in Division XiV of the Second Judicial District of Bernalillo County, New Mexico courthouse, via Zoom, on June 6, 2024 at 10 a.m. MT. Please review this website for updates. To attend the hearing virtually, please use the details below:
You may find more details about the hearing, including a QR code to scan to attend, in this Order. The Final Fairness Hearing may be continued to a future date without further notice. At this hearing, the Court will consider whether the Settlement is fair, reasonable, and adequate. If there are objections, the Court will consider and rule on them. The Court may also decide the amount of attorneys’ fees, costs, and expenses to pay Class Counsel and the amount of the service awards to pay Class Representatives. After the hearing, the Court will decide whether to approve the Settlement.
If the Court does not approve the Settlement, or if it approves the Settlement and the approval is reversed on appeal, or if the Settlement does not become final for some other reason, Settlement Class Members will receive no benefits from the Settlement. Plaintiffs, Defendant, and all of the Settlement Class Members will be in the same position as they were prior to the execution of the Settlement, and the Settlement will have no legal effect, no class will remain certified (subject to approval or otherwise), and the Plaintiffs and Defendant will continue to litigate the case. There can be no assurance that, if the Settlement is not approved, the Settlement Class will recover more than is provided in the Settlement, or indeed, anything at all.
No. Class Counsel will
answer questions the Court may have. But you are welcome to come at your own
expense. If you send an objection, you may
come to Court to talk about it. You may also pay your own lawyer to attend, if
you so choose.
This Notice
summarizes the proposed Settlement. More details are in the Settlement
Agreement. You can obtain a copy of the Settlement Agreement on the documents page of this website by clicking here or request a copy by contacting the Claims Administrator using the contact form
by clicking here or calling the toll-free (833) 630-6292.
Please do not contact the Court Clerk,
the Judge, counsel for PHS, or Defendant; they are not in a position to give
you any advice about the Settlement.
The following are the important dates and deadlines under the proposed Settlement: