AG Slatery Reaches $5 Million Multistate Settlement With Community Health Systems

Thursday, October 8, 2020

Tennessee Attorney General Herbert H. Slatery III, along with the Attorneys General of 27 other States, announced a settlement with Tennessee-based CHS/Community Health Systems, Inc., and its subsidiary, CHSPSC LLC.  This judgment resolves an investigation of a data breach which impacted approximately 6.1 million patients, including nearly 450,000 in Tennessee.

CHS owned, leased, or operated 206 affiliated hospitals at the time of the data breach in 2014.  Exposed in the breach were the names, birthdates, social security numbers, phone numbers, and addresses of patients. The judgment, agreed to by CHS, requires a $5 million payment to the States. Tennessee will receive $666,686.77.

“A patient’s personal information—especially health information—deserves the highest level of protection,” said General Slatery. “This settlement will require CHS to provide that moving forward.”

In addition to the payment, CHS will be required to implement and maintain a comprehensive security program to safeguard patients’ information. Specific measures include: a written incident response plan incorporating security awareness and privacy training for all personnel who have access to Personal Health Information (PHI), limiting unnecessary or inappropriate access to PHI, and implementing specific policies and procedures regarding business associates.

Other states participating in this settlement include Alaska, Arkansas, Connecticut, Florida, Illinois, Indiana, Iowa, Kentucky, Louisiana, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, Nevada, New Jersey, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, Texas, Utah, Vermont, Washington, and West Virginia.

To read the Complaint and the Agreed Final Judgment, click here: https://www.tn.gov/content/dam/tn/attorneygeneral/documents/pr/2020/pr20-44-complaint-afj.pdf


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