Alana Hannant, individually and on behalf of all others similarly situated v. Culbertson Memorial Hospital Foundation

District Court, C.D. Illinois·Decided July 27, 2026·No. 4:24-cv-04164·Unknown

Opinion

UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF ILLINOIS ROCK ISLAND DIVISION ALANA HANNANT, individually and on behalf of all others similarly situated,

Plaintiffs, Case No. 4:24-cv-04164-SLD-RLH v. CULBERTSON MEMORIAL HOSPITAL FOUNDATION, Defendant.

ORDER & OPINION This case concerns the use of website-tracking technology on a healthcare provider’s website. Many healthcare providers maintain websites through which patients can pay bills, locate physicians, schedule appointments, and access medical records. Some of those websites also incorporate tracking technologies that collect information about visitors, such as IP addresses, browsing history, and interactions with the website. The technologies then transmit that information to advertising platforms that use it to deliver advertisements based on the visitor’s browsing activity. Thus, a person who visits a hospital’s website to research treatment for high cholesterol may later encounter advertisements on social media promoting cholesterol medications. Plaintiff Alana Hannant contends that Culbertson Memorial Hospital employed this technology in violation of the Electronic Communications Privacy Act (“ECPA”). 18 U.S.C. §§ 2510–2523. Specifically, she alleges that the Hospital used website-tracking technology to intercept and disclose her electronic communications without authorization, thereby subjecting it to liability under the statute. (“Intercept” in this context is defined broadly to include the acquisition of electronic information.

See id. § 2510(4).) Hannant and the putative class, however, face a significant obstacle: The ECPA is a one-party consent statute, meaning that a party to a communication generally may disclose that communication without violating the Act. See id. § 2511(2)(d). Because Culbertson allegedly acquired the information through its own website, it was a party to the communications and ordinarily could disclose them.

Hannant relies on the statutory exception to that rule. The one-party consent provision does not apply if the communication was intercepted or disclosed “for the purpose of committing any criminal or tortious act.” Id. She alleges that Culbertson’s disclosure of patient information through website-tracking technology violated the Health Insurance Portability and Accountability Act (“HIPAA”). 42 U.S.C. § 1320d–6. According to Hannant, that alleged HIPAA violation constitutes the independent criminal act necessary to remove Culbertson from the protection of the

ECPA’s one-party consent provision. In allowing Hannant’s ECPA claim to proceed over Culbertson’s motion to dismiss, this Court agreed. It rejected Culbertson’s argument that its purpose for acquiring patient information was to make money—not to violate HIPAA. In doing so, the Court reasoned that both can be true at once: “The fact that Culbertson’s ultimate end was financial does not insulate it from the reasonable conclusion that it acted for the purpose of committing an act that was criminal or tortious.” (Doc. 38 at 15 (emphasis added).) And Hannant’s “complaint alleges that Culbertson’s interception was for the purpose of an independent criminal act, so the crime-tort

exception applies.” (Doc. 38 at 15.) The Court nonetheless recognized that the ECPA’s crime-tort exception has divided district courts around the country. In particular, they disagree about whether the exception applies when a hospital’s express purpose was not criminal or tortious, but instead financial. (See Doc. 38 at 13–14.) That uncertainty surrounding the crime-tort exception may soon be resolved— at least in the Seventh Circuit. An interlocutory appeal recently filed in a separate

case asks whether these website-tracking healthcare cases rest on a valid interpretation of the ECPA’s crime-tort exception. Stein v. Edward-Elmhurst Health, No. 26-1742 (7th Cir. Apr. 10, 2026). Shortly after Stein was docketed, Culbertson asked the Court to stay these proceedings. It argues that Stein may dispose of Hannant’s ECPA claim—the sole remaining federal claim. If Stein is resolved in its favor, Culbertson suggests, this Court will lack jurisdiction over Hannant’s remaining state-law claims. A stay would thus avoid unnecessary expense in the

interim if discovery is allowed to commence. Hannant disagrees. Whatever the outcome of Stein, she says, her state-law negligence claims would remain. And because this Court would have an independent ground to exercise jurisdiction over them, a stay would simply delay the inevitable. A stay is an “order to suspend all or part of a judicial proceeding.” Stay, Black’s Law Dictionary (12th ed. 2024). The power to impose one is “incidental to the power inherent in every court to control the disposition” of the cases on their dockets. Landis v. N. Am. Co., 299 U.S. 248, 254 (1936). Ultimately, the decision is a discretionary one. See Finova Cap. Corp. v. Ryan Helicopters U.S.A., Inc., 180 F.3d 896, 898 (7th

Cir. 1999). Here, all agree that Stein arises from facts strikingly similar to this case, it has a similar procedural history, and—most importantly—the Stein plaintiffs’ legal theory is indistinguishable from the theory Hannant presses here. But these observations only begin the inquiry. The critical question is not whether Stein is similar to this case; it’s how—if at all—the outcome of Stein will affect this case. True, courts frequently impose a stay when “a higher court in a

separate case will decide issues of law that are significant to the case sought to be stayed.” Johnson v. Navient Sols., Inc., 150 F. Supp. 3d 1005, 1007 (S.D. Ind. 2015).1 But the mere existence of a similar case in a higher court does not compel that result. See id. at 1008. Instead, courts consider both the similarity of legal issues and the likely effect of the higher court’s ruling. The practical effect of parallel litigation—not the similarity of the legal issues in some abstract sense—is what matters. See id. (declining to stay because the higher court’s forthcoming decision would “not affect

[plaintiff’s] entitlement to relief”). Culbertson observes—correctly—that Stein presents the following question: whether the ECPA’s crime-tort exception requires a defendant to harbor criminal or

1 See also White v. Ally Fin. Inc., 969 F. Supp. 2d 451, 461–62 (S.D. W. Va. 2013) (“A district court ordinarily has discretion to delay proceedings when a higher court will issue a decision that may affect the outcome of the pending case.”); Sikhs for Just. v. Nath, 893 F. Supp. 2d 598, 622 (S.D.N.Y. 2012) (noting that proceeding with the case “would be an inefficient use of time and resources of the court and the parties to proceed in light of a pending U.S. Supreme Court decision”); cf. Bell v. Merchants Bank of Ind., No. 1:18-cv-56, 2018 WL 10320583 (S.D. Ind. May 18, 2018) (finding a stay warranted where the decision in another trial court would simplify the issues in the case). tortious intent when intercepting communications. Put differently, whether a defendant is absolved of ECPA liability when it intercepts communications for a marketing or moneymaking purpose—both of which are indisputably lawful.2 That

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Alana Hannant, individually and on behalf of all others similarly situated v. Culbertson Memorial Hospital Foundation, (C.D. Ill. 2026).

Alana Hannant, individually and on behalf of all others similarly situated v. Culbertson Memorial Hospital Foundation (Alana Hannant, individually and on behalf of all others similarly situated v. Culbertson Memorial Hospital Foundation) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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