Fri, Nov 5, 2021
Hutton v. National Board of Examiners in Optometry, Inc., Case no. 1:16-cv-03025-JKB (District Court of Maryland)
In the summer of 2016, an alleged data security breach occurred at the National Board of Examiners in Optometry, Inc. (NBEO). Every optometry student had to submit personal information to NBEO to sit for certifying exams, and the NBEO retained that information for the credentialing of optometrists that moved from state to state. The Plaintiffs alleged they had been the victims of identity fraud after their personal information was compromised by a data breach of NBEO’s data systems.
This was a common fund settlement in which the NBEO agreed to pay a total of $3.25 million.
Data breach and privacy settlements require significant planning and consideration to successfully navigate and aid class members through their options.
Prior to sending notice to class members, our team built a settlement website with functionality for class members to use an online claim form that allowed for narrative descriptions and the ability to upload supporting documents. We also trained live operators and set up an interactive voice response (IVR) system.
In addition to the mailed and emailed notice, our media team employed a targeted social media notice campaign on Facebook and Instagram, placed e-newsletter display banner ads with the American Optometric Association and the Canadian Association of Optometrists, and issued a PR Newswire press release.
We mailed an 18-page notice package to approximately 61,000 class members. The package included a 12-page notice and a 6-page claim form. Class members could complete and return their paper claim form or file a claim on the settlement website. Email notice was also sent to class members, including a link directly to the NBEO settlement website.
Every mailed and emailed notice contained each class member’s unique class member ID. By requiring a unique class member ID to access the online claim form, the risk of fraudulent claims was greatly reduced.
Class members could claim three different types of compensation in this settlement:
In addition, all class members received identity restoration services without needing to file a claim.
We received 611 paper claim forms and 5,750 online claim forms, for a total of 6,364 claims received. Our team reviewed the detailed six-page claim forms and supporting documents for completeness. The claim form required claimants to provide multiple narrative descriptions in support of their claims for attested time and out-of-pocket losses. If a claim form contained a deficiency, a deficiency letter was mailed offering the claimant 30 days to cure the deficiency, and we assisted claimants in resolving their deficiencies.
We mailed 4,566 checks. Claimants who did not cash their checks within a certain amount of time were mailed letters reminding them to cash their checks and to contact us for replacement checks if needed. Through these efforts, we were able to successfully distribute over 98% of the net settlement fund.
We emailed 4,882 credit monitoring codes and mailed 552 credit monitoring codes to those class members for whom we did not have an email address.
In response to this sensitive alleged data breach, our team worked to efficiently notify class members of their rights and options. With a carefully planned notice program, thoroughly trained contact center staff, and a secure settlement website built to handle multiple types of claims and supporting documents, we successfully processed over 6,000 complex lengthy claim forms.
Kroll is the leader in complex settlement administration providing end-to-end expertise for class actions, mass torts, and regulatory and government administrations.