HHS Reaches Settlement with Clinical Laboratory for Alleged Violations of HIPAA Security Rule

The National Law Review

Hunton Andrews Kurth

On May 25, 2021, the Office for Civil Rights (“OCR”) of the U.S. Department of Health and Human Services (“HHS”) announced that it had reached a settlement with Peachstate Health Management, LLC (“Peachstate”) for violations of the HIPAA Security Rule. As part of this settlement, Peachstate (dba AEON Clinical Laboratories) agreed to pay OCR $25,000 and to implement a robust corrective action plan.

Peachstate, which is based in Georgia, provides diagnostic and laboratory-developed tests, including clinical and genetic testing services. In December 2017, OCR began a compliance review of Peachstate to determine the company’s compliance with the HIPAA Privacy and Security Rules. This review found that...

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