Netgain, Health Firms Must Face Hack Suit After 2020 Ransomware

A federal judge said a California health care provider and its networking vendor must face a lawsuit accusing them of negligence after a 2020 data breach yielded a ransom payment to keep patient data off the darkweb.

Council of Community Clinics and Netgain Technology LLC’s motions to dismiss a patient’s lawsuit was denied Wednesday by Judge Roger T. Benitez in a San Diego federal court. In his opinion, Benitez said the IT provider’s lack of jurisdiction argument and the health care firm’s argument of failed claims under the Confidentiality of Medical Information Act and Customer Records Act were insufficient. ...