Dermatology office settles with HHS for $300K after specimen containers found in trash

Springfield, Mass.-based New England Dermatology & Laser Center has paid $300,640 in a settlement over claims that it improperly disposed of specimen containers labeled with patient health information, the HHS Office of Civil Rights said in an Aug. 23 news release.

On May 11, 2021, the dermatology office filed a breach report with OCR saying that empty specimen containers affixed with patient data were put in its garbage bin after a third-party security guard discovered one in the parking lot, according to an OCR report.

OCR found potential HIPAA violations for the impermissible use and disclosure of protected health information and failure to maintain appropriate safeguards. OCR said the dermatology office regularly disposed of specimen containers with unaltered patient labels in an exterior dumpster between Feb. 4, 2011, and March 31, 2021.

On top of the monetary settlement, New England Dermatology & Laser Center agreed to undergo a corrective action plan and two years of monitoring.

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