Falcon Healthcare Settles Class Action Over 2022 Data Breach Impacting 89,443 Patients
Falcon Healthcare, operating as Interim Healthcare of Lubbock, Texas, has reached a settlement in a class action lawsuit stemming from a 2022 data breach. Between April 29 and July 3, 2022, an unauthorized third party accessed the company’s network and exfiltrated sensitive data, including names, Social Security numbers, medical records, and insurance details of 89,443 patients. Despite detecting the breach in June 2022, affected individuals were not notified until April 25, 2025—nearly three years later.
The lawsuit, Dawn Rice v. Falcon Healthcare, Inc., filed in May 2024, alleged negligence, breach of contract, and other claims, arguing the incident was preventable. Falcon Healthcare denied all wrongdoing but agreed to a settlement to avoid prolonged litigation. A federal judge approved the terms, which include an $800,000 fund to cover legal fees, administrative costs, and compensation for class members.
Affected individuals may claim either reimbursement for documented losses (up to $5,000 per person) or a $100 cash payment, with adjustments based on claim volume. The settlement also provides two years of medical data monitoring. Key deadlines include January 20, 2026, for exclusions or objections, January 26, 2026, for claims, and a final fairness hearing on February 10, 2026. Further details are available on the settlement website.
Falcon Healthcare Group cybersecurity rating report: https://www.rankiteo.com/company/falcon-healthcare-group
"id": "FAL1767958575",
"linkid": "falcon-healthcare-group",
"type": "Breach",
"date": "4/2022",
"severity": "85",
"impact": "4",
"explanation": "Attack with significant impact with customers data leaks"{'affected_entities': [{'customers_affected': '89,443 patients',
'industry': 'Home care and home health care',
'location': 'Lubbock, Texas, USA',
'name': 'Falcon Healthcare (Interim Healthcare of '
'Lubbock, Texas)',
'type': 'Healthcare service provider'}],
'attack_vector': 'Unauthorized network access',
'customer_advisories': 'Complimentary credit monitoring and identity theft '
'protection services offered',
'data_breach': {'data_exfiltration': 'Yes',
'number_of_records_exposed': '89,443',
'personally_identifiable_information': 'Yes',
'sensitivity_of_data': 'High (Protected Health Information)',
'type_of_data_compromised': ['Names',
'Addresses',
'Dates of birth',
'Social Security numbers',
'Driver’s license numbers',
'Health insurance information',
'Diagnoses',
'Lab results',
'Medications',
'Treatment information']},
'date_detected': '2022-06-01',
'date_publicly_disclosed': '2025-04-25',
'description': 'Falcon Healthcare, doing business as Interim Healthcare of '
'Lubbock, Texas, a home care and home health care service '
'provider, has agreed to settle class action litigation '
'stemming from a hacking incident that was first identified in '
'June 2022. An unauthorized third party had access to its '
'computer network between April 29, 2022, and July 3, 2022, '
'and downloaded the protected health information of 89,443 '
'patients.',
'impact': {'data_compromised': 'Protected health information of 89,443 '
'patients',
'financial_loss': '$800,000 settlement fund',
'identity_theft_risk': 'High',
'legal_liabilities': 'Class action lawsuit settlement',
'systems_affected': 'Computer network'},
'investigation_status': 'Settled',
'post_incident_analysis': {'corrective_actions': 'Establishment of $800,000 '
'settlement fund, medical '
'data monitoring for class '
'members',
'root_causes': 'Negligence in preventing the data '
'breach'},
'references': [{'source': 'Settlement Website',
'url': 'https://falcondatasettlement.com/'}],
'regulatory_compliance': {'legal_actions': 'Class action lawsuit',
'regulations_violated': ['HIPAA']},
'response': {'communication_strategy': 'Delayed notification (April 25, '
'2025)'},
'threat_actor': 'Unauthorized third party',
'title': 'Settlement Resolves Data Breach Litigation Against Falcon '
'Healthcare-Interim Healthcare of Lubbock Texas',
'type': 'Data Breach'}