Black v. Iec Group, Inc.
CourtCourt of Appeals for the Ninth Circuit
Date FiledOctober 9, 2026
Docket25-5952
StatusPublished
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Full Opinion
FOR PUBLICATION
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
MELISSA BLACK, individually and No. 25-5952
on behalf of all others similarly
D.C. No.
situated; MILES BLACK,
1:23-cv-00384-
individually and on behalf of all
AKB
others similarly situated,
OPINION
Plaintiffs - Appellants,
v.
IEC GROUP, INC., doing business as
Ameriben,
Defendant - Appellee.
Appeal from the United States District Court
for the District of Idaho
Amanda K. Brailsford, District Judge, Presiding
Argued and Submitted June 8, 2026
Seattle, Washington
Filed October 9, 2026
Before: Michael Daly Hawkins, William A. Fletcher, and
Eric C. Tung, Circuit Judges.
Opinion by Judge Tung
2 BLACK V. IEC GROUP, INC.
SUMMARY *
Article III Standing
The panel reversed the district court’s judgment
dismissing for lack of subject matter jurisdiction an action
alleging that IEC Group, Inc. disclosed confidential health
information without authorization.
Plaintiffs receive health insurance from a plan
administered by IEC Group, which sent each Plaintiff a letter
informing them that some of their information was disclosed
to unauthorized parties. Plaintiffs brought a class action
alleging several state-law claims. The district court
concluded that Plaintiffs did not suffer an injury in fact and
thus did not have Article III standing.
The panel held that Plaintiffs alleged an injury enough to
give them standing. The harm Plaintiffs alleged—the
unauthorized disclosure of sensitive facts about their health
that they entrusted Defendant to keep private—is akin to a
breach of confidence or contract that courts have
traditionally recognized as providing a basis for a
lawsuit. Accordingly, the panel reversed the district court’s
judgment and remanded for further proceedings.
*
This summary constitutes no part of the opinion of the court. It has
been prepared by court staff for the convenience of the reader.
BLACK V. IEC GROUP, INC. 3
COUNSEL
Jeff Blake (argued), Zimmerman Law Offices PC,
Willowbrook, Illinois; Thomas A. Zimmerman Jr.,
Zimmerman Law Offices PC, Chicago, Illinois; Bonner C.
Walsh, Walsh PLLC, Grangeville, Idaho; Marc E. Dann,
Brian D. Flick, and Marita I. Ramirez, Dann Law Firm,
Lakewood, Ohio; for Plaintiffs-Appellants.
Darren A. Craig (argued) and Kandi K. Hidde, FBT Gibbons
LLP, Indianapolis, Indiana; Nicole C. Hancock and Bradley
R. Prowant, Stoel Rives LLP, Boise, Idaho; for Defendant-
Appellee.
OPINION
TUNG, Circuit Judge:
If you entrust a company to keep your sensitive health
information private, but the company then discloses that
information to others without your consent, have you been
injured? We hold yes. The district court concluded such
harm did not constitute “injury in fact” sufficient to confer
Article III standing. We reverse.
I
Plaintiffs-Appellants Miles and Melissa Black receive
health insurance from a plan administered by Defendant-
Appellee IEC Group, Inc. (doing business as AmeriBen). In
August 2023, Defendant sent each Plaintiff a letter
informing them that some of their information was disclosed
to unauthorized parties. ER-77–80. The letter explained that
4 BLACK V. IEC GROUP, INC.
an associate emailed a spreadsheet containing Plaintiffs’
sensitive health information to “one or more [plan]
members.” ER-77. The information that “may have been
disclosed” included (1) first and last names, (2) unique
tracking numbers, (3) provider names, (4) claim numbers,
(5) dates of service, and (6) the amounts billed or paid. ER-
22–23 ¶ 11, 77, 79. Plaintiffs allege that “the full extent of
the types of Sensitive Information, the scope of the breach,
and the root cause of the breach is all within the exclusive
control of the Defendant,” ER-21 ¶ 7, and that Defendant
“has not been forthright with information about the Breach,”
ER-46 ¶ 90, 48 ¶ 102.
Plaintiffs brought a class action against Defendant in the
United States District Court for the District of Idaho for
several state-law claims. 1 ER-20–21. Plaintiffs allege that
they entrusted their sensitive health information to
Defendant as a condition of their plan administration, ER-
45, 47, and that Defendant expressly and impliedly
promised—including through its Privacy Policy—to keep
that information confidential and not disclose it to any third
party without their consent, and to use reasonable methods
to prevent such disclosure, ER-22, 62. Plaintiffs allege that
they provided their information in reliance on that promise
and on a reasonable expectation of confidentiality, and that
they would not have entrusted it to Defendant absent such an
agreement. ER-22, 65. Defendant breached those promises,
they allege, when it disclosed their confidential information
without authorization, depriving Plaintiffs of the benefit of
1
Plaintiffs brought state-law claims of (1) Negligence, (2) Negligence
Per Se, (3) Breach of Contract, (4) Breach of Implied Contract,
(5) Breach of Fiduciary Duty, (6) Unjust Enrichment, (7) Declaratory
and Injunctive Relief, and (8) a claim under Florida’s Deceptive and
Unfair Trade Practices Act (Fla. Stat. § 501.201 et seq.). ER-52–68.
BLACK V. IEC GROUP, INC. 5
their bargain and rendering the services they contracted for
of diminished value. ER-45, 47, 63.
The district court granted Defendant’s Rule 12(b)(1)
motion to dismiss for lack of subject matter jurisdiction
because it concluded that the Plaintiffs did not suffer an
injury in fact and thus did not have Article III standing. ER-
4, 18. The district court rejected Plaintiffs’ arguments that
unauthorized disclosure of private information alone or the
loss of the benefit of their bargain could satisfy the injury-
in-fact requirement for standing. ER-9, 11–12. Instead, it
interpreted Ninth Circuit caselaw as “support[ing] a
narrower rule.” ER-12. “[T]o allege a concrete injury from
disclosure of personal information, a plaintiff must show the
nature of the information disclosed, the context of the
disclosure, and other alleged injuries associated with the
disclosure demonstrate an imminent and substantial injury.”
Id. (citing Greenstein v. Noblr Reciprocal Exch., No. 22-
17023, 2024 WL 3886977, at *1 (9th Cir. 2024)). The court
concluded that Plaintiffs did not meet that standard and thus
did not demonstrate a substantial likelihood of future injury.
ER-13–18.
Plaintiffs then appealed to this court. “We review a
district court’s dismissal under Rule 12(b)(1) for lack of
standing de novo.” Unified Data Servs., LLC v. FTC, 39
F.4th 1200, 1209 (9th Cir. 2022). “On appeal from a motion
to dismiss, a plaintiff need only show that the facts alleged,
if proven, would confer standing.” Krottner v. Starbucks
Corp., 628 F.3d 1139, 1141 (9th Cir. 2010).
II
Our “judicial Power” extends only to “Cases” and
“Controversies.” U.S. Const., art. III, § 2. To ensure we
keep to our proper role, we have applied the doctrine of
6 BLACK V. IEC GROUP, INC.
standing, which requires plaintiffs to have “suffered an
injury in fact” that is fairly traceable to the challenged
conduct and that is likely to be redressed by the court.
Spokeo, Inc. v. Robins, 578 U.S. 330, 338 (2016). This
doctrine is “rooted in the traditional understanding of a case
or controversy” and “limits the category of litigants
empowered to maintain a lawsuit in federal court.” Id.
History remains our guide in determining whether a
plaintiff has standing. “Because the doctrine of standing
derives from the case-or-controversy requirement, and
because that requirement in turn is grounded in historical
practice, it is instructive to consider whether an
alleged . . . harm has a close relationship to a harm that has
traditionally been regarded as providing a basis for a lawsuit
in English or American courts.” Id. at 340–41 (citing Vt.
Agency of Nat. Res. v. United States ex rel. Stevens, 529 U.S.
765, 775–77 (2000)); see also TransUnion LLC v. Ramirez,
594 U.S. 413, 427 (2021). As Justice Frankfurter put it,
“[j]udicial power” comes into play “in matters that were the
traditional concern of the courts at Westminster.” Coleman
v. Miller, 307 U.S. 433, 460 (1939) (opinion of Frankfurter,
J.). “That inquiry asks whether plaintiffs have identified a
close historical or common-law analogue for their asserted
injury.” TransUnion, 594 U.S. at 424.
An “exact duplicate” is not needed. Id. But the inquiry
is “not an open-ended invitation for federal courts to loosen
Article III based on contemporary, evolving beliefs about
what kinds of suits should be heard in federal courts.” Id. at
424–25. Tangible harms, such as physical harm or monetary
loss, satisfy the “injury in fact” requirement; but intangible
harms can too, if they have been “traditionally recognized”
by courts as providing a basis for a lawsuit, such as
“reputational harms” or “harms specified by the Constitution
BLACK V. IEC GROUP, INC. 7
itself”—e.g., “abridgment of free speech” or “infringement
of free exercise.” Id. at 425. Congress’s “judgment is also
instructive and important,” as that body is “well positioned
to identify intangible harms that meet minimum Article III
requirements.” Spokeo, 578 U.S. at 341.
III
Plaintiffs have alleged an injury here enough to give
them standing. Standing must of course be shown claim by
claim and is not “dispensed in gross,” TransUnion, 594 U.S.
at 431, but injury in fact turns on the harm a plaintiff has
suffered rather than the legal theory he invokes to redress it,
and where every count rests on the same injury, that inquiry
yields a single answer. The harm Plaintiffs allege consists
of the unauthorized disclosure of sensitive facts about their
health that they have entrusted Defendant to keep private.
No one can dispute (at this stage of the litigation anyway)
that the disclosed information—about when Plaintiffs
received health treatment, how much they (or their insurer)
spent on that treatment, and which providers they saw—is
sensitive to Plaintiffs. Nor can anyone dispute that
Defendant promised Plaintiffs to keep this information
secret—information Defendant learned while administering
Plaintiffs’ insurance claims. And no one can dispute that
Defendant failed to keep this information secret. The harm
that Plaintiffs allege from this disclosure resembles a breach
of confidence and contract that courts have long understood
as providing a basis for a lawsuit.
Consider first a breach of confidence. Under this action,
a defendant is liable for “the unconsented, unprivileged
disclosure to a third party of nonpublic information that the
defendant has learned within a confidential relationship.”
8 BLACK V. IEC GROUP, INC.
Kamal v. J. Crew Grp., Inc., 918 F.3d 102, 114 (3d Cir.
2019) (quotation omitted).
The “ancient rule” of equity denoted “breach of
confidence” as one of three express bases for invoking a
court’s jurisdiction. See 4 Edward Coke, Institutes of the
Laws of England 84 (London, M. Flesher 1644) (“For this
Court of Equity the ancient rule is good. Three things are to
be judged in Court of Conscience: Covin, Accident, and
breach of confidence.”). A series of seminal English cases
decided around the time of our Founding illustrates the
action’s historical pedigree. See Neil M. Richards & Daniel
J. Solove, Privacy’s Other Path: Recovering the Law of
Confidentiality, 96 Geo. L.J. 123, 135–38 (2007). In Duke
of Queensberry v. Shebbeare, the Court of Chancery
enjoined the publication of a manuscript, belonging to the
Earl of Clarendon, which was given to an individual with the
understanding that it not be printed and shared. 28 Eng. Rep.
924, 925 (Ch. 1758). This case reflected “liab[ility] to be
restrained,” as one later authority taught, for “deriv[ing]
confidential information in breach of confidence,” though
the case had not used those express terms. See Francis
Gurry, Breach of Confidence 278 (1984).
The court was more explicit in Yovatt v. Winyard, in
which it enjoined an employee’s use of secret “recipes for
veterinary medicines” that the employee had copied in
“breach of trust and confidence” owed to his employer. 37
Eng. Rep. 425, 425–426 (Ch. 1820). Similarly, in Abernethy
v. Hutchinson, the court enjoined individuals from
publishing notes of lectures kept by a medical student
attending the lectures because the initial disclosure by the
student was either a “breach of trust” or a violation of an
implied contract. 47 Eng. Rep. 1313, 1316 (Ch. 1825)
(citing Duke of Queensberry, 28 Eng. Rep. at 924).
BLACK V. IEC GROUP, INC. 9
Later cases confirmed that breach of confidence was
actionable apart from any property or copyright interest. In
Prince Albert v. Strange, the court enjoined the exhibition of
etchings of the royal family (and publication of a catalogue
describing those etchings) when the defendant’s possession
of them “must have originated in a breach of trust,
confidence, or contract.” 41 Eng. Rep. 1171, 1179 (Ch.
1849). “[T]his case by no means depends solely upon the
question of property,” the court emphasized, “for a breach of
trust, confidence, or contract, would of itself entitle the
Plaintiff to an injunction.” Id. at 1178.
In Morison v. Moat, the court reaffirmed the principle,
recognizing that equity would restrain individuals from
disclosing information they obtained in confidence. 68 Eng.
Rep. 492, 501 (Ch. 1851). There, the court enjoined the “use
of a secret in the compounding of a medicine” where the
defendant acquired “the secret” in “breach of trust and
confidence.” Id. at 492. “That the Court has exercised
jurisdiction in cases of this nature does not,” the Vice-
Chancellor said, “admit of any question.” Id. at 498
(emphasis added). The court noted that the “grounds” for
“jurisdiction” referred to “property” in some cases and
“contract” in others; and in still other cases, “it has been
treated as founded upon trust or confidence, meaning, as [the
Vice-Chancellor] conceive[d], that the Court fastens the
obligation on the conscience of the party, and enforces it
against him in the same manner as it enforces against a party
to whom a benefit is given the obligation of performing a
promise on the faith of which the benefit has been
conferred.” Id. (emphasis added). “[B]ut, upon whatever
grounds the jurisdiction is founded,” the court concluded,
“the authorities leave no doubt as to the exercise of it.” Id.
10 BLACK V. IEC GROUP, INC.
The authorities that the court in Morison surveyed
include those already discussed (Duke of Queensberry,
Yovatt, Abernethy, Prince Albert). See id. at 499. As the
court emphasized, those cases based jurisdiction upon the
“ground of breach of trust and confidence.” Id. “By those
authorities, in which I most fully concur,” the Vice-
Chancellor stated, “and which appear to me to agree in
principle with many other cases to be found in the books, I
must hold myself to be bound.” Id. Again, the court took
pains to emphasize that the “principle” rested not on a
violation of a “property” right, but on a “breach of
confidence”: indeed, the defendant in Morison had argued
that “granting an injunction” would “give the Plaintiffs a
better right than that of a patentee.” Id. at 500. But the court
rejected that argument, reasoning that “what we have to deal
with here is, not the right of the Plaintiffs against the world”
(as a patent would give), “but their right against the
Defendant,” who had committed a breach of confidence. Id.
(emphasis added). Buttressing that reasoning, the court
distinguished Morison from a patent case in which the latter
“did not depend upon any breach of confidence, for there
was no confidence reposed, but depended wholly on a
supposed right of property in the medicine.” Id.
These English authorities were well known across the
Atlantic. Joseph Story, in his “famous treatise” on equity
jurisprudence (Grupo Mexicano de Desarrollo S.A. v.
Alliance Bond Fund, Inc., 527 U.S. 308, 321 (1999)), cited
Yovat among other cases when he described how “Courts of
Equity will restrain a party from making a disclosure of
secrets, communicated to him in the course of a confidential
employment.” 2 Commentaries on Equity Jurisprudence
§ 952, at 223 (Boston, Charles C. Little & James Brown
1839). Story disabused the reader of any notion that he was
BLACK V. IEC GROUP, INC. 11
speaking solely about trade secrets; the wrong in these cases
pertained to a breach of faith or contract: “it matters not,” he
said, “whether the secrets be secrets of trade, or secrets of
title, or other secrets of the party important to his interests.”
Id. In a later edition, the treatise cited Morison v. Moat and
recognized that “a party has been restrained from using a
secret . . . in breach of faith or contract.” 2 Commentaries
on Equity Jurisprudence § 952, at 296 (Boston, Little, Brown
& Co. 1853); see also Evitt v. Price, 57 Eng. Rep. 659 (Ch.
1827); Pollard v. Photographic Co., 40 Ch. Div. 345 (1888).
American courts followed suit. In E.I. Du Pont de
Nemours Powder Co. v. Masland, 244 U.S. 100 (1917),
Justice Holmes, writing for a unanimous Supreme Court,
described the harm that a breach of confidence effects and
explained that such harm provided the basis for the court’s
ability to entertain the case and grant relief:
Whether the plaintiffs have any valuable
secret or not[,] the defendant knows the facts,
whatever they are, through a special
confidence that he accepted. The property
may be denied but the confidence cannot be.
Therefore[,] the starting point for the present
matter is not property or due process of law,
but that the defendant stood in confidential
relations with the plaintiffs, or one of them.
These have given place to hostility, and the
first thing to be made sure of is that the
defendant shall not fraudulently abuse the
trust reposed in him. It is the usual incident
of confidential relations. If there is any
disadvantage in the fact that he knew the
12 BLACK V. IEC GROUP, INC.
plaintiffs’ secrets, he must take the burden
with the good.
Id. at 102 (reversing a decree that had vacated a preliminary
injunction).
In short: a trust betrayed is the harm. Beyond concerns
of “property” or “due process,” the “hostility” made upon
the relationship itself, the “abuse” of the “trust reposed” in
another, is itself the harm. Other cases adhered to this
principle. For example, in Corliss v. E.W. Walker Co., 64 F.
280 (C.C.D. Mass. 1894), the court had “granted an
injunction upon the ground that the proposed use [of a
photograph of a famous inventor] by the defendants would
be a breach of contract and a violation of confidence.” Id. at
281 (emphasis added). It addressed “a personal right”
belonging to the plaintiff, citing Duke of Queensberry,
Abernethy, and Prince Albert. Id. at 282. The court later
dissolved the injunction upon learning that the defendants
obtained the photograph “at a public shop in Providence”—
hence there was no “contract” between the parties; nor was
confidence reposed in defendants to keep the photograph
private. Id. at 282–83. The central point, however, is this: a
breach of confidence was traditionally recognized as a basis
for a lawsuit.
Similarly, in Stevens & Co. v. Stiles, 71 A. 802 (R.I.
1909), the court affirmed the grant of a preliminary
injunction to restrain an employee who had, “from breach of
trust or confidence arising from the confidential relation”
with his employer, sought to use the company’s “books and
records” to solicit customers for his own business. Id. at 802,
806. The court articulated the historical recognition by
English courts of relief granted upon a “breach of
confidence,” citing Morison, Yovatt, Abernethy, and Prince
BLACK V. IEC GROUP, INC. 13
Albert (among other cases), as well as Story’s treatise, and it
acknowledged that “[t]he same doctrine prevails in this
country.” Id. at 803–05.
The court in Pavesich v. New England Life Ins. Co., 50
S.E. 68 (Ga. 1905), understood this too: “It is well settled
that, if any contract or property right or trust relation has
been violated, damages are recoverable. There are many
cases which sustain such a doctrine.” Id. at 75 (emphasis
added). The plaintiff in Pavesich had sued an insurance
company for using a photograph of him in an advertisement
for life insurance, alleging a “trespass upon plaintiff’s right
of privacy . . . caused by breach of confidence and trust
reposed” in the defendant. Id. at 69. The court recognized
that “breach of confidence” was a harm more established
than the alleged invasion of “privacy”—two harms that the
plaintiff had blended in his pleadings. Id. at 75. Invoking a
recently published article at the time by Samuel Warren and
Louis Brandeis, The Right to Privacy, 4 Harv. L. Rev. 193
(1890), the court found that the plaintiff’s “right to privacy”
was violated. See Pavesich, 50 S.E. at 74, 81.
The novelty of finding such a “privacy” right only
reinforced the settled nature of (the narrower) “breach of
confidence” action. As the court acknowledged, “[i]t is to
be conceded that prior to 1890 every adjudicated case, both
in this country and in England, which might be said to have
involved a right of privacy, was not based upon the existence
of such right, but was founded upon a supposed right of
property, or a breach of trust or confidence, or the like.” Id.
at 69 (emphasis added).
To be sure, the Pavesich case (and others) marked the
advent of the privacy tort, established in our law today to the
point where “breach of confidence” has nearly been eclipsed
14 BLACK V. IEC GROUP, INC.
(though it appears more recently to have made a comeback).
See Richards & Solove, Privacy’s Other Path, at 146–56;
Alan B. Vickery, Note, Breach of Confidence: An Emerging
Tort, 82 Colum. L. Rev. 1426, 1428–30 (1982). None of this
is all too surprising: in many cases a plaintiff would have no
need to invoke a narrower “breach of confidence” theory of
liability when it has resort to a broader theory of “privacy,”
which does not depend on the existence of (and thus proof
of) a relationship of confidence and trust between the parties.
But whether “breach of confidence” has been
overshadowed today is beside the point. The point is that,
around our Constitution’s framing, “breach of confidence”
provided a basis for a suit in English or American courts; and
that is enough for us to conclude that it serves as a “close
historical or common-law analogue for [Plaintiffs’] asserted
injury” to allege standing under Article III. TransUnion, 594
U.S. at 424; see also Vt. Agency, 529 U.S. at 776 (examining
“the period immediately before and after the framing of the
Constitution”). 2
2
The Supreme Court in TransUnion observed that “disclosure of private
information” is a harm “traditionally recognized as providing a basis for
lawsuits in American courts.” Id. at 425. That could potentially provide
another basis for standing here, but we need not decide that today. See
Popa v. Microsoft Corp., 153 F.4th 784, 790–91 (9th Cir. 2025). We
note that our sister circuits have apparently adopted different approaches
as to whether the tort’s element of “publicity” needs to be alleged in
order to demonstrate standing. Compare Hunstein v. Preferred
Collection & Mgmt. Servs., Inc., 48 F.4th 1236, 1245 (11th Cir. 2022)
(en banc); Shields v. Prof. Bureau of Collections of Md., Inc., 55 F.4th
823, 828–29 (10th Cir. 2022); Nabozny v. Optio Sols. LLC, 84 F.4th 731,
735 (7th Cir. 2023); Barclift v. Keystone Credit Servs., LLC, 93 F.4th
136, 145 & n.4 (3d Cir. 2024); Holmes v. Elephant Ins. Co., 156 F.4th
413, 425 (4th Cir. 2025), with Pileggi v. Wash. Newspaper Publ’g Co.,
LLC, 146 F.4th 1219, 1230–31 (D.C. Cir. 2025); Salazar v. Paramount
BLACK V. IEC GROUP, INC. 15
“Breach of contract” reinforces the validity of the
analogy we draw today. A relationship of trust and
confidence is often formed by contract or an implied
promise. And so where there is a “breach of confidence,”
there often is a “breach of contract” too, as the historical
cases recognized. See supra at 9–11. And here Plaintiffs
have alleged a confidential relationship grounded in
promises made by Defendant and a breach of those promises.
ER-22 ¶ 10, 23 ¶ 14, 63 ¶ 164. No one can doubt that actions
for breach of contract, even without any allegations of
pecuniary or physical injury, were available at common law.
See Joseph Chitty, A Treatise on the Law of Contracts 978
(Springfield, Mass., G. & C. Merriam 1860); William T.
Brantly, Law of Contract 247–48 (Baltimore, Harold B.
Scrimger 1893); see also, e.g., Cowley v. Davidson, 13
Minn. 92, 104–05 (1868); Devendorf v. Wert, 42 Barb. 227,
229 (N.Y. Sup. Ct. 1864). And that pedigree combined with
the historical recognition of the “breach of confidence”
action in equity make clear that Plaintiffs have standing here
at least at this stage of the pleadings. 3
Glob., 133 F.4th 642, 647 n.4, 648 n.6 (6th Cir. 2025); Salazar v. NBA,
118 F.4th 533, 542 n.6 (2d Cir. 2024). Because we hold that “breach of
confidence” provides a basis for standing here, we need not decide
whether “disclosure of private information” does too.
3
We note that the Third Circuit has “hesitate[d] to conclude” that
“breach of confidence” was traditionally recognized as providing a basis
for a suit. Barclift, 93 F.4th at 145 n.3. But as the authorities discussed
in our opinion show, “breach of confidence” is anything but new. See
supra at 8–12; see also Barclift, 93 F.4th at 157 & n.13 (Matey, J.,
concurring in part, dissenting in part, and dissenting in the judgment).
We also note that the Seventh and Fourth Circuits have questioned
whether a “breach of contract” can give rise to standing when damages
are merely nominal. Dinerstein v. Google, 73 F.4th 502, 521 (7th Cir.
2023); see also Freeman v. Progressive Direct Ins. Co., 149 F.4th 461,
16 BLACK V. IEC GROUP, INC.
Congressional judgment further confirms that the
disclosure of this information is a concrete injury. Spokeo,
578 U.S. at 341; TransUnion, 594 U.S. at 425. Congress
passed the Health Insurance Portability and Accountability
Act (HIPAA) and subsequent amendments to protect certain
sensitive health information from disclosure. While the Act
does not provide a private cause of action, it does prohibit
disclosure, and even provides for criminal liability for, under
certain conditions, knowingly “disclos[ing] individually
identifiable health information to another person.” 42
U.S.C. § 1320d-6(a)(3). No one appears to dispute that the
information disclosed here was covered by the Act. See 42
U.S.C. § 1320d(6) (defining “individually identifiable health
information”). However mundane such disclosed data might
seem to some—e.g., the patient’s name, the provider’s name,
the dates of service, the amounts billed—Congress made a
judgment that such information was sensitive enough to
entitle it to statutory protection. And it is not hard to see
467 (4th Cir. 2025). But it appears to us that nominal damages are a
historical recognition that a party is harmed by the very act of the breach
itself even when no pecuniary damage accompanies such breach—in that
vein, it is very much like a trespass resulting from an intruder placing
merely one foot on the owner’s property without causing any physical
harm to the property; no matter how little, a breach of contract is still a
breach, and a trespass still a trespass. See Thomas M. Cooley, A Treatise
on the Law of Torts 63 (Chicago, Callaghan & Co. 1879); Theodore
Sedgwick, A Treatise on the Measure of Damages 57–58 (New York,
Baker, Voorhis & Co. 1874); Springer v. Cleveland Clinic Emp. Health
Plan Total Care, 900 F.3d 284, 292–93 (6th Cir. 2018) (Thapar, J.,
concurring); Denning v. Bond Pharmacy, Inc., 50 F.4th 445, 451 (5th
Cir. 2022). In any event, the Third, Seventh, and Fourth Circuits did not
have occasion to address the particular allegations at issue here—a
breach of confidentiality grounded in contractual promises to keep
sensitive HIPAA-protected health information private—and so those
cases are readily distinguishable.
BLACK V. IEC GROUP, INC. 17
why. Such information, no matter how seemingly benign,
can reveal one’s most private health concerns—for example,
others might learn that a patient is suffering from a
debilitating mental illness because he has been seeing a
psychiatrist for daily therapy sessions for the past three
months, or that a patient is struggling with infertility given
the amount of time spent at a fertility clinic. Disclosure of
such sensitive information resulting from a breach of trust is
a harm.
* * *
The Supreme Court has instructed that a plaintiff,
bearing the burden to show standing, must identify a close
historical analogue for their claimed injury. Plaintiffs have
done so here. Their allegation that Defendant disclosed
sensitive health information that Plaintiffs entrusted
Defendant to keep private is akin to a breach of confidence
or contract that English and American courts have
traditionally recognized as providing a basis for a lawsuit.
We therefore reverse the district court’s judgment to the
contrary and remand for further proceedings.
REVERSED AND REMANDED.