Allegations of Lax Security
The lawsuit, filed roughly two months after the breach and led by plaintiff Damon Miller, accused NextGen of cutting corners on cybersecurity measures and failing to promptly notify customers about the intrusion.
While the settlement does not constitute an admission of wrongdoing, it brings closure to claims that the company’s data safeguards were insufficient at a time when digital defenses are as vital as physical locks.
Legal Fees and Representation
Class counsel indicated in an October filing that they intend to seek attorneys’ fees of up to 33.3% of the settlement fund, along with reimbursement for reasonable litigation expenses.
The customers are represented by MaryBeth V. Gibson of Gibson Consumer Law Group LLC, J. Cameron Tribble of Barnes Law Group LLC and Norman E. Siegel of Stueve Siegel Hanson LLP.
NextGen is represented by attorneys Abby H. Meyer, Chris D. Lawrence and Kari Rollins of Sheppard Mullin Richter & Hampton LLP, along with Eric J. Breithaupt of Jones & Walden LLC.
With the judge’s final approval now in place, the settlement process can move forward — a milestone in a case that underscores the growing legal and financial consequences companies face when cyber defenses fail.
