Maximum payout for LifeLabs class-action drops from $150 estimate to $7.86
![LifeLabs B.C. A sign is seen outside a LifeLabs location in North Vancouver B.C., on Friday, October 22, 2021. THE CANADIAN PRESS/Darryl Dyck](/content/dam/ctvnews/en/images/2024/5/14/lifelabs-b-c--1-6886618-1715709000907.jpg)
Canadian LifeLabs customers who filed an application for a class-action settlement began receiving their payments this week, though at a much lower amount than initially expected.
The class action accusing the company of inadequate cybersecurity measures was launched after LifeLabs announced a data breach on Dec. 17, 2019. Those who lived in Canada and used LifeLabs' services on or before that date were eligible to apply for the settlement.
Compensation was estimated to be between $50 to $150, though the exact amount per person was to be determined based on the total number of claims filed. As it turned out, more than 900,000 valid claims were received, which meant payments were brought down to just $7.86. Those who requested a cheque are receiving $2 less, after the deduction of a processing fee.
"The amounts have been calculated in accordance with the court-approved terms of distribution," a statement from KPMG, which is administering the claims, says.
Many claimants took to social media after receiving their payment, with some calling the payments "a joke."
As many as 8.6 million Canadians may have been impacted by the 2019 cyberattack targeting LifeLabs' database of customers' personal health information.
LifeLabs, a major provider of specialty laboratory testing services in Ontario, British Columbia and Saskatchewan, denied all allegations, and said it paid an undisclosed ransom for the data.
Ontario's and B.C.'s privacy commissioners found in 2020 that LifeLabs broke privacy laws by failing to have adequate safeguards on patient data. The commissioners ordered LifeLabs to deploy new safety measures and "improve its process for notifying individuals of the specific elements of their personal health information which were the subject of the breach."
On Oct. 25, 2023, the Ontario Superior Court of Justice approved a Canada-wide settlement deal for up to $9.8 million.
With files from CTV News' Christl Dabu
CTVNews.ca Top Stories
![](https://www.ctvnews.ca/polopoly_fs/1.6925574.1721646302!/httpImage/image.jpg_gen/derivatives/landscape_800/image.jpg)
BREAKING Canadian killed near Gaza border after threatening forces with knife: Israeli police
Israeli police say a Canadian citizen was killed Monday after threatening Israeli security forces with a knife near the Gaza border.
Harris looks to lock up Democratic nomination after Biden steps aside, reordering 2024 race
U.S. Vice President Kamala Harris moved swiftly to lock up Democratic delegates behind her campaign for the White House after President Joe Biden stepped aside amid concerns from within their own party that he would be unable to defeat Donald Trump.
What to know about the Canadian ties of Kamala Harris, Biden's choice for successor
U.S. President Joe Biden is stepping aside as the Democratic candidate in that country's November election and throwing his support behind Vice President Kamala Harris -- a Montreal-area high school graduate who spent several years in the city.
Markets bet on second Bank of Canada interest rate cut coming this week
Economists and market watchers are betting the Bank of Canada will deliver another interest rate cut this week amid mounting evidence that inflation is sustainably easing.
The pilot who died in crash after releasing skydivers near Niagara Falls has been identified
NEW YORK (AP) — Officials on Sunday released the name of a pilot who died in a skydiving flight after her passengers jumped from the aircraft near the Niagara Falls.
Canadian musicians struggle to get visas to perform in the U.S., some cancel shows
Backlogs and processing delays of temporary U.S. visas required by entertainers, athletes and artists has forced some Canadian bands to cancel U.S. tour dates because paperwork wasn't processed in time.
Mom wants quicker reform on disaster preparations, one year after flood took son
The mother of a boy who died a year ago in a Nova Scotia flood says her grief returns daily, along with frustration over what she considers the province's slow pace in reforming its preparations for climate disasters.
Ottawa man waiting nearly a year for car to be fixed at Acura dealership
An Ottawa man says he’s been waiting nearly a year for his car to be repaired after it was damaged during a storm in August.
Justin Trudeau reacts to Joe Biden announcing he won't run for re-election
Prime Minister Justin Trudeau responded to the news that U.S. President Joe Biden won’t run for re-election Sunday, calling Biden a 'true friend.'