Tate v. EyeMed Vision Care, LLC

CourtDistrict Court, S.D. Ohio
DecidedJuly 29, 2025
Docket1:21-cv-00036
StatusUnknown

This text of Tate v. EyeMed Vision Care, LLC (Tate v. EyeMed Vision Care, LLC) is published on Counsel Stack Legal Research, covering District Court, S.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tate v. EyeMed Vision Care, LLC, (S.D. Ohio 2025).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF OHIO WESTERN DIVISION

CHANDRA TATE, et al.,

Plaintiffs, Case No. 1:21-cv-36

v. JUDGE DOUGLAS R. COLE

EYEMED VISION CARE, LLC,

Defendant. OPINION AND ORDER This putative class action lawsuit stems from a data breach of Defendant EyeMed Vision Care, LLC’s email inbox, which compromised thousands of individuals’ personally identifiable information and protected health information. Plaintiffs, on behalf of themselves and a putative class, now seek to settle their claims with EyeMed. They move, without opposition, for preliminary certification of the putative class and for preliminary approval of the settlement. For the reasons discussed below, the Court GRANTS Plaintiffs’ Unopposed Motion for Preliminary Approval of Class Action Settlement (Doc. 47), PRELIMINARILY CERTIFIES a nationwide class, and PRELIMINARILY APPROVES the proposed class action settlement. BACKGROUND1 EyeMed is one of the largest vision benefits companies in the country. It offers various plans to more than sixty million members. (Consolidated Class Action Compl., Doc. 19, #222, 228). To provide its services, EyeMed collects members’

personally identifiable information (PII) and protected health information (PHI), including their name, email address, physical address, financial information (e.g., health savings account and credit card account information), and medical history. (Id. at #221–22, 228). And if a member uses health insurance to obtain benefits, EyeMed also collects additional information like that member’s birthdate and Social Security number. (Id. at #228).

But, according to Plaintiffs, EyeMed has not adequately protected its members’ PII and PHI. Specifically, they point to a June 24, 2020, cyberattack, during which unknown bad actors accessed EyeMed’s email account and sent phishing emails to addresses saved in that account. (Id. at #222, 231–32). A later investigation revealed that the hacked email account contained numerous EyeMed members’ names, contact information, dates of birth, vision insurance account numbers, Medicaid or Medicare numbers, Social Security numbers, and other information. (Id. at #231–33).

Problematically, EyeMed allegedly didn’t discover the breach until July 1, 2020—a week later. (Id. at #231–32). Worse yet, Plaintiffs say that EyeMed failed to disclose the data breach to its insurance company affiliates for nearly three months and failed

1 The Court cites the Consolidated Class Action Complaint (Doc. 19) in relaying the relevant background. But it notes that EyeMed, in the proposed class action settlement, denies any wrongdoing. (Doc. 47-1, #572). to notify affected members for nearly six months. (Id.). Plaintiffs now suspect their PII is available on the dark web, making them susceptible to identity theft and financial fraud. (Id. at #224–25).

Shaken by the data breach, Plaintiff Chandra Tate filed this putative class action lawsuit, (Doc. 1), which later consolidated with Plaintiff Barbara Whittom’s analogous lawsuit, (2/24/21 Not. Order).2 In the Consolidated Complaint, Plaintiffs assert seven counts: a negligence claim based on traditional negligence and negligence per se theories of liability (although Plaintiffs label each theory as a separate claim), (Counts I, II); breach of implied contract (Count III); unjust enrichment (Count IV); and various claims for violations of California’s consumer

protection and medical regulation statutes (Counts V, VI, and VII). (Doc. 19, #252– 69). Defendants moved to dismiss the Consolidated Complaint in its entirety. (Doc. 21). They argued that Plaintiffs lacked Article III standing to sue, and that, in any event, Plaintiffs failed to plausibly allege their claims. (Doc. 21-1, #307). The Court disagreed on the standing front, concluding that Plaintiffs had plausibly alleged a concrete injury.3 (Op. & Order, Doc. 40, #494). But the Court agreed in part

2 Plaintiff Alexus Wynn became a party in the Consolidated Complaint. (Doc. 19, #221, 227). 3 Although Plaintiffs plausibly alleged a concrete injury at the pleading stage, the Court noted that it was a close call. (Doc. 40, #492–93). And “[a]t ‘successive stages of the litigation,’ a named plaintiff bears an escalating burden to demonstrate standing.” Earl v. Boeing Co., 339 F.R.D. 391, 411 (E.D. Tex. 2021) (quoting Lujan v. Defs. of Wildlife, 504 U.S. 555, 561 (1992)), rev’d and remanded on other grounds, 53 F.4th 897 (5th Cir. 2022). Whether preliminary (or final) approval constitutes a successive stage is an interesting question. For example, one court has noted in a related context that “the movant’s burden of proof to establish standing at the class-certification stage is unclear.” Smith v. Miorelli, 93 F.4th 1206, 1212 n.7 (11th Cir. 2024) (cleaned up). For purposes of this preliminary approval motion, the Court assumes “that the applicable standard [is] a pleading standard,” id. (quotation omitted), and that concerning the merits, and dismissed most of Plaintiffs’ claims for failure to plausibly allege them, allowing only the negligence claim to proceed. (Id. at #504). So, as it stands, the negligence claim (based on a traditional theory of negligence—the Court

did not reach Plaintiffs’ negligence per se theory) is the only one pending. After mediation and over a year of negotiating, the parties seek to bring this dispute to a close by settling Plaintiffs’ and putative class members’ claims. (Doc. 47). The proposed settlement agreement defines the class as “all natural persons who reside in the United States and to whom EyeMed issued notice of the Data Incident that certain Personal Data was impacted in the Data Incident.” (Doc. 47-1, #581). And the proposed agreement releases “any and all past, present, and future claims and

causes of action arising from the conduct alleged in the [Consolidated Complaint].” (Id. at #579–80, 594). EyeMed, in turn, agrees to pay $5,000,000 into a non- reversionary common fund that will settle putative class claims. (Id. at #596). The fund administrator will disburse that common fund in five steps. First, the fund will pay taxes and tax-related expenses related to the common fund. (Id. at #597, 599). Second, the common fund will pay for administrative fees, class representative

service awards and attorneys’ fees (the amounts of which are yet to be determined, and which will be later subject to the Court’s approval), and litigation expenses. (Id. at #595–97). Third, the fund administrator will disburse monies to class members with valid “Out-of-Pocket Loss Claims” (claims for which a class member has

Plaintiffs have thus met their burden. But the Court encourages the parties to address this issue in their briefing for final approval. documented out-of-pocket losses “reasonably traceable” to the data breach up to $10,000 per individual) and valid “Lost-Time Claims” (claims for reimbursement for time spent remedying issues related to the data breach up to four hours at a rate of

$25 per hour).4 (Id. at #584, 597). Fourth, the common fund will cover pro rata payments to all class members who submit a valid claim. (Id. at #597–98). The baseline pro rata payment is $50, subject to a proportional increase or decrease depending on the number of claims submitted. (Id. at #583). And finally, if there are remaining funds after all that, one of three things could happen. The first option is for the parties to confer and agree in writing to redistribute the remaining funds to class members who submitted valid claims. (Id. at #598). If, however, the parties

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Tate v. EyeMed Vision Care, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tate-v-eyemed-vision-care-llc-ohsd-2025.