Kathleen Jordan, et. al. v. Absolute Dental Group, LLC and Judge Consulting, Inc.

District Court, D. Nevada·Decided July 29, 2026·No. 2:25-cv-00986·Unknown

Opinion

Case No.: 2:25-cv-00986-JAD-DJA Kathleen Jordan, et. al., Plaintiffs Order Granting Motion to Dismiss in Part v. and with Limited Leave to Amend

Absolute Dental Group, LLC and Judge [ECF No. 61] Consulting, Inc., Defendants This is a data-breach case alleging that cybercriminals infiltrated Absolute Dental Group LLC’s computer systems and obtained the personally identifiable and protected health information of more than one million patients. The plaintiffs contend that this occurred because Absolute and its managed-services provider, Judge Consulting, Inc., failed to implement reasonable cybersecurity measures despite collecting and maintaining extraordinarily sensitive information. On behalf of themselves and a putative class, the plaintiffs assert negligence, contract, statutory, and related equitable claims arising from that alleged failure. The plaintiffs have reached a class-wide settlement with Absolute, which is pending final approval. Judge Consulting moves to dismiss the claims against it under Federal Rules of Civil Procedure (FRCP) 12(b)(1) for lack of Article III standing and under FRCP 12(b)(6) for failure to state a claim. I deny the motion in part and grant it in part. The plaintiffs have adequately alleged Article III standing at this stage, and they plausibly state claims for negligence and unjust enrichment. But I dismiss the claims for negligence per se, Nevada’s Privacy of Information Collected on the Internet from Consumers Act, invasion of privacy, and declaratory and injunctive relief with limited leave to amend by August 18, 2026. Discussion A. The plaintiffs have standing to pursue their claims at this stage. FRCP 12(b)(1) authorizes federal courts to dismiss a complaint for want of subject-matter jurisdiction.1 A challenge to a plaintiff’s Article III standing is properly brought under FRCP

12(b)(1) because, if a plaintiff is without standing to assert her claims, the district court lacks subject-matter jurisdiction over her.41 “[T]he threshold question of whether [a] plaintiff has standing (and the court has jurisdiction) is distinct from the merits of [her] claim”; the standing question “precedes, and does not require, analysis of the merits.”42 “No principle is more fundamental to the judiciary’s proper role in our system of government than the constitutional limitation of federal-court jurisdiction to actual cases or controversies.”2 “[A] plaintiff must have standing to sue” “[t]o satisfy the ‘Cases’ and ‘Controversies’ requirement.”3 The party asserting federal jurisdiction thus has the burden of establishing Article III standing over a case or controversy.4 In a putative class action, Article III’s requirements are satisfied before a class is certified if at least one named plaintiff has

standing.5 This burden is met by showing that the plaintiff “(1) suffered an injury in fact, (2) that is fairly traceable to the challenged conduct of the defendant, and (3) that is likely to be redressed by a favorable judicial decision.”6 “Standing must be proven ‘with the manner and degree of

1 Fed. R. Civ. P. 12(b)(1). 2 Simon v. E. Ky. Welfare Rts. Org., 426 U.S. 26, 37 (1976). 3 Am. Encore v. Fontes, 152 F.4th 1097, 1109–10 (9th Cir. 2025). 4 Elk Grove Unified Sch. Dist. v. Newdow, 542 U.S. 1, 11 (2004), abrogated in part on other grounds in Lexmark Int’l, Inc. v. Static Control Components, Inc., 572 U.S. 118, 127 (2014). 5 Healy v. Milliman, Inc., 164 F.4th 701, 706 (9th Cir. 2026). 6 Spokeo, Inc. v. Robins, 578 U.S. 330, 338 (2016) (citing Lujan v. Defs. of Wildlife, 504 U.S. 555, 560 (1992)). evidence required at the successive stages of the litigation.’”7 “For purposes of ruling on a motion to dismiss for want of standing, both the trial and reviewing courts must accept as true all material allegations of the complaint and must construe the complaint in favor of the complaining party.”43

Judge Consulting challenges the injury-in-fact prong here.8 The plaintiffs respond that the allegations of one of the named plaintiffs, Kathleen Jordan,9 satisfies the injury-in-fact requirement because, in addition to alleging that her highly sensitive personal information was compromised in the data breach, she alleges that an unauthorized individual opened a PayPal account in her name following the breach, causing her to incur charges or debt.10 Relying principally on the Ninth Circuit’s unpublished holding in Greenstein v. Noblr Reciprocal Exchange,11 Judge Consulting argues that the third-amended complaint (TAC) fails to plausibly allege that Jordan’s own personal information was compromised in the data breach. Judge Consulting emphasizes that the notice only states that “certain sensitive personal information of ‘certain individuals may have been affected’ and that ‘[s]uch sensitive personal information may

include’ things like health information, driver’s license numbers, Social Security numbers,

7 DZ Rsrv. v. Meta Platforms, Inc., 96 F.4th 1223, 1240 (9th Cir. 2024) (quoting Lujan v. Defs. of Wildlife, 504 U.S. 555, 561 (1992)). 8 ECF No. 68 at 26. 9 Because Jordan’s allegations are sufficient to establish Article III standing at this stage, see infra at page 5, I limit my discussion to her allegations and do not separately analyze the standing of the remaining named plaintiffs. 10 ECF No. 78 at 6–7; ECF No. 61 at ¶¶ 201–202, 207. 11 Greenstein v. Noblr Reciprocal Exch., 2024 WL 3886977 (9th Cir. Aug. 21, 2024) (unpublished). contact information.”12 In Judge Consulting’s view, those allegations do not plausibly establish that Jordan’s personal information was stolen. In Greenstein, the Ninth Circuit examined both the complaint and the notice incorporated into it and concluded that the plaintiffs had failed to plausibly allege that their own driver’s

license numbers had been stolen.13 The incorporated notice established only that Noblr had suffered a cyberattack, that some driver’s license numbers had been taken, and that any individual recipient’s driver’s license number “may (or may not) have been among those stolen.”14 Because the complaint alleged little more than that plaintiffs’ information had been “exposed” or “may have been accessed,” its contrary allegations that the plaintiffs’ information “was taken” were deemed conclusory because they were unsupported by the complaint’s incorporated allegations.15 The plaintiffs here allege that Absolute’s investigation determined that multiple categories of sensitive personal information—including names, dates of birth, Social Security numbers, driver’s license information, passport information, health information, and financial-

account information—may have been compromised in the data breach.16 According to the complaint, Jordan’s own information was among the compromised data, and an unauthorized individual later opened a PayPal account in her name, causing her to incur charges or debt.17 Unlike in Greenstein, there is no incorporated notice before me with contents that contradict

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Kathleen Jordan, et. al. v. Absolute Dental Group, LLC and Judge Consulting, Inc., (D. Nev. 2026).

Kathleen Jordan, et. al. v. Absolute Dental Group, LLC and Judge Consulting, Inc. (Kathleen Jordan, et. al. v. Absolute Dental Group, LLC and Judge Consulting, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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