Okash v. Essentia Health

CourtDistrict Court, D. Minnesota
DecidedMarch 26, 2024
Docket0:23-cv-00482
StatusUnknown

This text of Okash v. Essentia Health (Okash v. Essentia Health) is published on Counsel Stack Legal Research, covering District Court, D. Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Okash v. Essentia Health, (mnd 2024).

Opinion

UNITED STATES DISTRICT COURT DISTRICT OF MINNESOTA MICHAEL OKASH, individually, and on behalf of those similarly situated, Civil No. 23-482 (JRT/LIB)

Plaintiff,

v. MEMORANDUM OPINION AND ORDER GRANTING IN PART AND DENYING IN Essentia Health, PART DEFENDANT’S MOTION TO DISMISS Defendant.

Anne T. Regan and Nathan D. Prosser, HELLMUTH & JOHNSON PLLC, 8050 West 78th Street, Edina, MN 55439; Anthony Stauber, Daniel E. Gustafson, David A. Goodwin, and Karla M. Gluek, GUSTAFSON GLUEK PLLC, 120 South Sixth Street, Suite 2600, Minneapolis, MN 55402; Benjamin Cooper, Brian C. Gudmundson, Jason P. Johnston, Michael J. Laird, and Rachel Kristine Tack, ZIMMERMAN REED LLP, 1100 IDS Center, 80 South Eighth Street, Minneapolis, MN 55402; and Hart L. Robinovitch, ZIMMERMAN REED LLP, 14648 North Scottsdale Road, Suite 130, Scottsdale, AZ 85254, for Plaintiff.

Anderson Tuggle, Andy Taylor, and Jeffrey P. Justman, FAEGRE DRINKLE BIDDLE & REATH LLP, 2200 Wells Fargo Center, 90 South Seventh Street, Minneapolis, MN 55402; Justin O’Neill Kay, FAEGRE DRINKER BIDDLE & REATH LLP, 320 South Canal Street, Suite 3300, Chicago, IL 60606; and Zoe K. Wilhelm, FAEGRE DRINKER BIDDLE & REATH LLP, 1800 Century Park East, Suite 1500, Los Angeles, CA 90067, for Defendant.

Plaintiff Michael Okash contends that Defendant Essentia Health’s (“Essentia”) deployment of Meta Pixel tracking software on essentiahealth.org violates a slew of federal and state privacy and consumer protection laws. His complaint suffers from significant pleading defects, many of which appear to be symptoms of Okash’s focus on Meta Pixel litigation against other healthcare providers rather than the facts of this case. The Court will dismiss without prejudice Okash’s claims under federal and state wiretap

laws, the Minnesota Health Records Act, and state tort law. At the same time, Okash plausibly alleges violations of the Minnesota Consumer Fraud Act and Minnesota Uniform Deceptive Trade Practices Act and states a viable claim for unjust enrichment. BACKGROUND

I. FACTS Plaintiff Michael Okash has received medical care from Essentia since 2000. (Am. Compl. ¶¶ 18–19, May 15, 2023, Docket No. 15.) Okash brings this putative class action on behalf of himself and others similarly situated, defined as “[a]ll persons whose

Sensitive Information was disclosed to a third party through Defendant’s Website without authorization or consent.” (Id. ¶ 106.) Essentia maintains a website, essentialhealth.org, which allows patients to find medical facilities and services and conduct research on medical issues, conditions,

medications, and doctors. (Id. ¶ 2.) Okash recalls using the website to research doctors and investigate various treatments and medical conditions. (Id. ¶ 21.) In addition to essentiahealth.org, Essentia provides an online patient portal, MyChart, that allows patients to communicate with their providers, schedule appointments, review medical

records, and pay bills. (Compl. ¶ 3, Feb. 28, 2023, Docket No. 1.) Essentia employs Meta Platform, Inc.’s (“Meta”) tracking technology, Meta Pixel (“Pixel”), on essentialhealth.org. (Am. Compl. ¶¶ 52–53, 60.) Pixel tracks a website user’s activity and transmits data to Meta, including the pages and subpages visited by the website user, and searches, clicks, and other submissions to the website. (Id. ¶ 5); see

also In re Meta Pixel Healthcare Litig., 647 F. Supp. 3d 778, 784–86 (N.D. Cal. 2022) (explaining the Pixel technology). For example, if a visitor to essentiahealth.org clicks on the “Doctors & Providers” page, data documenting that navigation would be sent to Meta. (Am. Compl. ¶ 57.) The data is often then associated with the user’s Facebook

account and used for advertising purposes. (Id. ¶¶ 54–55, 59.) Okash recalls receiving targeted advertisements based on his research on essentiahealth.org. (Id. ¶ 26.) Essentia’s website includes a privacy policy indicating it is “committed to

protecting the privacy of those who visit our website.” (See Decl. Jeffrey P. ¶ 4, Ex. A (“Privacy Policy”) at 2, June 23, 2023, Docket No. 26.) In a section on tracking technologies, the policy discloses “[w]e may also use Facebook Pixel that enables us to understand how users interact with our website after seeing an ad on Facebook and then

clicking through to our website.” (Id. at 3.) II. PROCEDURAL HISTORY Okash’s initial complaint alleged privacy violations on his MyChart account as well as essentiahealth.org. (See, e.g., Compl. ¶ 117.) He filed an amended complaint that

drops all references to MyChart because Essentia does not use the Pixel on MyChart. (See generally Am. Compl.) Okash alleges Essentia violated federal wiretap laws as well as state statutory and common law by transmitting data from essentialhealth.org to Meta through the Pixel. (See generally id.) Essentia now moves to dismiss all counts. (Def.’s Mot. Dismiss, June 23, 2023, Docket No. 23.)

DISCUSSION I. STANDARD OF REVIEW In reviewing a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), the Court considers all facts alleged in the Complaint as true to determine if the Complaint

states a “claim to relief that is plausible on its face.” Braden v. Wal-Mart Stores, Inc., 588 F.3d 585, 594 (8th Cir. 2009) (quoting Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009)). The Court construes the Complaint in the light most favorable to the plaintiff, drawing all reasonable inferences in the plaintiff’s favor. Ashley Cnty. v. Pfizer, Inc., 552 F.3d 659, 665

(8th Cir. 2009). Although the Court accepts the complaint’s factual allegations as true, it is “not bound to accept as true a legal conclusion couched as a factual allegation,” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007), or mere “labels and conclusions or a formulaic recitation of the elements of a cause of action,” Iqbal, 556 U.S. at 678 (quotation

omitted). Instead, “[a] claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Id. At the motion to dismiss stage, the Court may consider the allegations in the

Complaint as well as “those materials that are necessarily embraced by the pleadings.” Schriener v. Quicken Loans, Inc., 774 F.3d 442, 444 (8th Cir. 2014). The Court may also consider matters of public record and exhibits attached to the pleadings, as long as those documents do not conflict with the Complaint. Porous Media Corp. v. Pall Corp., 186 F.3d 1077, 1079 (8th Cir. 1999).

II. PRELIMINARY FACTUAL DETERMINATIONS There are two recurring factual disputes the Court will address upfront to aid subsequent resolution of the legal issues. First, because this action is limited to Essentia’s general website, the Court will address the type of information transmitted therein.

Second is the degree to which the privacy policy puts the public on notice of Essentia’s use of Pixel. A. Website Information As Essentia observes, Okash has dropped all allegations related to MyChart

because Essentia never embedded the Pixel in MyChart. Rather, the Amended Complaint pertains to Essentia’s public-facing website, essentiahealth.org and its sub-links.

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