Mount Nittany Health Settles Lawsuit for $1.8 Million Over Data Sharing
Mount Nittany Health, a nonprofit health system, is set to pay $1.8 million to more than 70,000 patients to resolve claims that it improperly shared their private data with tech companies for marketing purposes. This settlement comes after two anonymous Pennsylvania residents filed a lawsuit alleging that Mount Nittany disclosed information about their treatments, medical providers, and online searches to companies like Google, Facebook, and LinkedIn.
This proposed settlement, if approved, will mark another victory for patients seeking to protect their data from marketers. Earlier this year, Novant Health settled similar claims for $6.6 million, while Cerebal settled for over $7 million in April.
Healthcare providers commonly use tracking technologies on their websites to understand users’ behavior and enhance their services. The American Hospital Association has defended this practice, stating that tracking tools help providers troubleshoot website navigation issues and identify location-specific care needs.
However, patient advocates and regulators have raised concerns about providers using third-party trackers like Meta Pixel and Google Analytics without proper disclosure. The lawsuit against Mount Nittany specifically called out the risk of sensitive patient information being shared with companies like Facebook without patients’ knowledge.
If the proposed settlement is approved, individuals who accessed a Mount Nittany website or patient portal in Pennsylvania dating back to 2007 may be eligible to receive a portion of the $1.8 million settlement. It is estimated that approximately 74,000 people fall into this settlement class.
While patient advocates have achieved several victories in court, providers have also seen successes in challenging restrictions on their use of tracking technologies. The federal government’s attempts to limit providers’ use of trackers were met with resistance from federal courts, which deemed the proposed guidance as overstepping the agency’s authority.
Overall, the settlement between Mount Nittany Health and affected patients highlights the ongoing debate surrounding data privacy in healthcare and the importance of transparency when it comes to sharing sensitive information with third parties.
