Brightline Reaches $7 Million Settlement Over 2023 Data Breach: What Affected Individuals Need to Know

Brightline, Inc. has agreed to a $7 million settlement to resolve a proposed class action lawsuit stemming from a significant data breach in January 2023. The breach, caused by vulnerabilities in the Fortra file-transfer software, exposed sensitive personal data of around one million individuals. The settlement, which was granted preliminary approval by a court on September 24, 2024, provides affected individuals with cash payments, credit monitoring services, and more.

 

Details of the $7 Million Settlement

The $7 million settlement addresses the claims from a data breach that impacted individuals whose data was managed by Brightline, a provider of virtual behavioral healthcare services. Residents across the United States who were notified about the breach are eligible for compensation.

Affected individuals can submit claims for a one-time cash payment of $100 or up to $5,000 in cash compensation, provided they can demonstrate financial losses linked to the breach. Additionally, California residents are eligible for a statutory payment of $100 under state law.

Free Credit Monitoring for Affected Individuals

In addition to cash payments, the settlement offers three years of complimentary credit monitoring for all class members. Those who had previously enrolled in Brightline’s two-year credit monitoring program will receive an additional year of service. This is designed to help mitigate the risks of identity theft and fraud resulting from the breach.

How to File a Claim

Affected individuals who wish to participate in the settlement must submit a claim by February 26, 2025. Claims can be filed online through the Brightline Data Security Settlement website, where claimants will need the Unique ID and PIN provided on the postcard notice they received. For those who did not receive the notice, or if the notice was misplaced, the settlement administrator can assist in obtaining this information. Alternatively, claimants can print and mail a PDF form.

Settlement Adjustments and Final Approval

The total payouts may be adjusted on a pro-rata basis, depending on the number of valid claims and the amount of benefits claimed under the settlement, including cash payments, California statutory payments, and credit monitoring services.

A final approval hearing for the settlement is set for February 10, 2025. If the court grants final approval, payouts and benefits will be distributed to eligible class members, barring any appeals.

Background: The 2023 Brightline Data Breach

The lawsuit was filed following a cyberattack on Brightline in January 2023, which exploited a vulnerability in the Fortra GoAnywhere MFT application. The breach led to the unauthorized exposure of private data, including personal, medical, and financial information, affecting about one million people.

In response, a multidistrict litigation (MDL)was established in February 2024 to manage the growing number of claims stemming from the cyberattack. The settlement aims to resolve these claims and provide compensation to those affected.

For more information about the settlement, or to file a claim, visit the official Brightline Data Security Settlement website.