Increasing dependency on technology is not proving to be as sustainable as companies have previously assumed as a growing number of companies have been facing class action lawsuits due to allegations of data breaches in recent years.
One such case of a data breach is currently being dealt with by an accounting firm in Maine who are being accused of not taking the necessary preventative measures to ensure the protection of their clients’ personal data. Victims of this invasion of privacy need to act quickly if they wish to receive their portion of the settlement amount because the final date to submit a claim has been pushed up.
Date breach throwing sheets off balance at accounting firm
An accounting and consultancy firm has recently been served with a class action lawsuit amidst allegations of a data breach that leaked their clients personal details to hackers after the adequate precautions were not taken. Now class action members have only a week left to submit their claims before the settlement payment process begins.
The Maine based accounting firm known as Berry, Dunn, McNeil & Parker, along with Reliable Networks — an IT service provider contracted with the firm — are being accused of failing to honor the privacy of their customers’ personal information some time around September 14, 2023.
The lawsuit alleges that “the leak compromised over 100 customers, leaving their health data and personal identifiable information vulnerable to malicious hackers.”
Both companies are denying any involvement in the matter and are not admitting to any wrongdoing. However, Berry, Dunn, McNeil & Parker and Reliable Networks have reached a settlement agreement with plaintiffs with a massive payout amounting to $7.25 million to be made.
Class members can receive close to $5000 in compensation but the final deadline to submit a claim has been pushed forward meaning class members now have just one week left to file a claim.
Class action lawsuit details
This data breach resulted in hackers gaining access to information such as social security numbers, names, email addresses, birth dates, and individual health insurance policy numbers. To make matters worse, the companies had apparently failed to report this breach despite being completely aware of it for at least 6 months. The data stolen by hackers is extremely sensitive and plaintiffs have shared that now “this risk will remain for their respective lifetimes.”
The firm, often referred to as Berry Dunn, only notified impacted individuals and the Maine Attorney General on April 25, 2024, approximately six months after the breach occurred.
Subsequently, the lawsuit states that, “As a result of this delayed response, Plaintiffs and Class Members had no idea for seven months that their Private Information had been compromised, and that they were, and continue to be, at significant risk of identity theft and various other forms of personal, social, and financial harm.”
It also appears that this breach was entirely preventable had the company taken more sensible measures for cyber security.
Settlement eligibility
The terms of the settlement dictate that eligible members can receive a cash payment of a maximum amount of $4,900 per victim. Additionally, members will receive free credit monitoring services.
Any person whose information was accessed by hackers is eligible for the payout. People who were informed by Berry Dunn about their data being compromised may also file a settlement claim.
Documented proof of any losses must be submitted with the claim. Identity theft, fraudulent charges, and unknown fees are all considered losses and account statements, receipts, and credit reports may all be submitted as proof.
If a claimant does not have documented proof, they may apply for fixed-rate payment of approximately $100 (depending on number of claims filed).
Additionally, all claimants can apply for free credit monitoring to the value of $270 for 3 years.
The final deadline to submit a claim has been moved up to next week, on February 25, and the final approval hearing for this settlement is scheduled for March 3, 2025.