Contract Claims Advance Against Blackbaud Over Data Breach

Blackbaud Inc. must face breach-of-contract claims brought by Trinity Health Corp. over a 2020 ransomware attack that exposed the personal information of nearly 3.3 million patients, a federal court ruled.

Trinity’s amended complaint provided a sufficient basis for its claim that its expenses following the breach were caused by Blackbaud’s failure to comply with its contractual obligations, Judge Jon E. DeGuilio of the US District Court for the Northern District of Indiana said Wednesday.

DeGuilio also found that most of Trinity’s damages were compensable, but dismissed its claims of negligence, gross negligence, negligent misrepresentation, and breach of fiduciary duty.

The ...