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726 F.Supp.3d 916
D. Minn.
2024
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Background

  • Plaintiff Jacqueline Mekhail, an individual and former patient of North Memorial Health Care ("North"), brought a putative class action alleging North’s websites used Meta Pixel tracking technology to collect and transmit private health and user data to Meta (Facebook), allegedly violating multiple federal and state laws.
  • Mekhail alleged both the public website and password-protected patient portal were embedded with the Pixel, transmitting information about health topics, appointments, and communications without user consent.
  • North moved to dismiss the First Amended Complaint (FAC) under Fed. R. Civ. P. 12(b)(6), challenging all claims.
  • The seven asserted claims were for violations of federal and Minnesota wiretap statutes, Minnesota consumer fraud and deceptive trade practice statutes, the Minnesota health records statute, and common law invasion of privacy and unjust enrichment.
  • The central legal dispute involves whether the alleged data transmission constituted unlawful interception, unauthorized health record disclosure, consumer fraud, deceptive practices, or unjust enrichment.
  • Judge Katherine Menendez granted North’s motion to dismiss as to the Minnesota consumer fraud and invasion of privacy claims, but denied it as to federal and state wiretap, Minnesota deceptive trade practices, Minnesota health records, and unjust enrichment claims, allowing those to proceed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Does use of Meta Pixel violate federal/state wiretap statutes? North procured Meta to unlawfully intercept and use communication contents No unlawful interception; party exception applies Sufficiently pleaded; party exception plausibly overcome
Whether Minnesota consumer fraud statute applies Misrepresentation about privacy in connection with goods/services No link between alleged misrep and sale of merchandise Dismissed: No nexus to sale of merchandise
Whether Minnesota deceptive trade practices claim survives North made deceptive statements/omissions about privacy to patients Statements not sufficiently pled, no likelihood of future harm Sufficient pleading and future harm; claim proceeds
Whether wrongful release of health records occurred Pixel disclosed protected health info, both inferential and explicit Portal data/website activity is not "health records" under statute Sufficiently pleads unauthorized health records release
Invasion of privacy: private facts/intrusion upon seclusion North disclosed/publicized private facts, intruded upon seclusion No public dissemination; North was not an "interceptor" Dismissed: facts abandoned or not sufficiently pleaded
Was North unjustly enriched by data collection North received profit from data, collection was inequitable/uncompensated No benefit alleged; privacy policy governed relationship Sufficient facts to proceed to discovery

Key Cases Cited

  • Bell Atl. Corp. v. Twombly, 550 U.S. 544 (plausibility standard for Rule 12(b)(6) motions)
  • Ashcroft v. Iqbal, 556 U.S. 662 (threadbare recitals of elements insufficient on motion to dismiss)
  • Bartnicki v. Vopper, 532 U.S. 514 (use provision of Wiretap Act distinct from interception)
  • Reynolds v. Spears, 93 F.3d 428 (distinguishing interceptors from procurers/users under ECPA)
  • Caro v. Weintraub, 618 F.3d 94 (crime-tort exception and intent under wiretap statutes)
  • Lake v. Wal-Mart Stores, Inc., 582 N.W.2d 231 (intrusion upon seclusion under Minn. law)
  • Bodah v. Lakeville Motor Express, Inc., 663 N.W.2d 550 (publication of private facts standard)
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Case Details

Case Name: Heidi Kaliher and Tracey Knight, individually, and on behalf of those similarly situated v. North Memorial Health Care, d/b/a North Memorial Health
Court Name: District Court, D. Minnesota
Date Published: Mar 28, 2024
Citations: 726 F.Supp.3d 916; 0:23-cv-00440
Docket Number: 0:23-cv-00440
Court Abbreviation: D. Minn.
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    Heidi Kaliher and Tracey Knight, individually, and on behalf of those similarly situated v. North Memorial Health Care, d/b/a North Memorial Health, 726 F.Supp.3d 916