PARS $750,000 Data Breach Settlement, Who Qualifies, Payment Details, Opt-Out and Objection Rights, and the December 1, 2026 Deadline

People whose personal information was compromised in a March 2024 cyberattack on Public Agency Retirement Services (PARS) may receive a cash payment under a proposed $750,000 class action settlement. The case is Winer v. Phase II Systems d/b/a Public Agency Retirement Services, pending in the Superior Court of Orange County, California. The lawsuit alleges that files containing private information, including full names and Social Security numbers, may have been accessed in the attack.

You do not need to file a claim form. If you are a class member and do not opt out, you are automatically included and will receive a pro rata cash payment if the court grants final approval. Payment defaults to a paper check, but you can choose an electronic method (E-Mastercard, PayPal, Venmo or Zelle) on the official payment-selection page: phaseiidatasettlement.com/form/payment.

Official settlement website: PhaseIIDataSettlement.com

Key deadline: The deadline to opt out or object is December 1, 2026. The final approval hearing is set for February 1, 2027, at 1:30 p.m. Pacific Time. The settlement is not final until the court approves it.

PARS Data Breach Settlement: Quick Facts

Detail	Information
Settlement fund	$750,000
Defendant	Phase II Systems, doing business as Public Agency Retirement Services (PARS)
Case name	Winer v. Phase II Systems d/b/a Public Agency Retirement Services
Case number	30-2024-01428283-CU-NP-CXC
Court	Superior Court of Orange County, California
Class representative	Christopher Winer
Incident	Targeted cyberattack on PARS’ computer systems in or around March 2024
Information potentially affected	Full names and Social Security numbers, among other private information
Who qualifies	U.S. residents whose personal information was compromised in the incident, including people who received notice
Claim form required	No. Payment is automatic for class members who do not opt out
Official settlement website	PhaseIIDataSettlement.com
Payment-selection portal (optional)	phaseiidatasettlement.com/form/payment (requires Login ID and PIN from your notice)
Payment type	Pro rata cash payment (paper check by default; electronic options available)
Estimated individual payment	Not announced. Depends on the net fund and number of participating class members
Notice mailing date	October 2, 2026
Opt-out deadline	December 1, 2026 (postmarked)
Objection deadline	December 1, 2026
Final approval hearing	February 1, 2027, 1:30 p.m. PT, Department CX103
Settlement administrator	Simpluris
Administrator contact	(833) 360-6805
Admission of fault	None. PARS denies wrongdoing

What Is the PARS Data Breach Lawsuit About?

The lawsuit centers on a targeted cyberattack on PARS’ computer systems in March 2024. According to the settlement website, certain files containing private information were accessed, and those files may have included personal details such as full names and Social Security numbers.

Christopher Winer filed the case as a proposed class action against Phase II Systems, which does business as PARS. Data breach class actions like this one typically allege that a company failed to protect sensitive information with reasonable security measures, and seek compensation on behalf of everyone affected.

PARS denies wrongdoing. The court has not decided who is right, and the settlement is not a finding that PARS is legally liable. Both sides agreed to settle to avoid the cost, risk and uncertainty of continuing the litigation.

Who Qualifies for the PARS Settlement?

The settlement class is defined as:

All individuals residing in the United States whose personal information was compromised in the security incident experienced by PARS in or around March 2024, including individuals who received notice of the breach.

You may qualify if:

• You lived in the United States and your personal information was compromised in the March 2024 incident.
• Your information was included in the records PARS used to identify class members.
• You have not validly excluded yourself (opted out) from the settlement.

The class definition turns on whether your information was compromised. It is not limited to people who were customers of a particular public agency or who dealt with PARS directly.

Who is excluded: the judge assigned to the case and the judge’s family and staff; PARS and its officers, directors and related companies; and anyone who validly opts out.

What if you did not receive a notice?

Notices began going out on October 2, 2026. Not receiving one does not by itself mean you are ineligible, because the class includes people whose information was compromised, not only those who received a letter. If you believe you were affected, contact the settlement administrator, who can help for free:

• Phone: (833) 360-6805
• Email: [email protected]
• Mail: PARS Security Incident Settlement, c/o Settlement Administrator, P.O. Box 25226, Santa Ana, CA 92799-9958

How Much Money Could You Receive?

The $750,000 fund is the total for the entire class, not the amount each person will receive. Several items are paid from the fund first, and the remainder is divided among class members who stay in the settlement.

Item	Amount
Total settlement fund	$750,000
Attorneys’ fees and litigation costs (requested)	Up to $210,000
Service award for class representative (requested)	$3,000
Notice and administration costs	Not to exceed $88,000
Maximum remaining for class members if every request is granted in full	About $449,000

The 449,000figureissimplearithmetic(750,000 minus $210,000, $3,000 and $88,000). It is a ceiling on the net fund, not a per-person amount. Actual administration costs may be lower, which would leave more money for class members.

Related settlement: Thompson Coburn data breach settlement

How the pro rata payment works

Under a pro rata distribution, the net settlement money is divided among the class members who remain in the settlement. The more people who participate, the smaller each share; the fewer who participate, the larger each share. The settlement website has not announced a per-person estimate, so any dollar figure you see elsewhere should be treated as a guess unless the administrator or the court confirms it.

The attorneys’ fees, litigation costs and service award are requests only. The court decides at the final approval hearing whether to grant them, in whole or in part.

Are settlement payments taxable?

Tax treatment depends on your situation, including what the payment compensates you for. Under general federal tax principles, settlement payments may be taxable income unless they reimburse specific out-of-pocket losses. This article does not provide tax advice; consult a tax professional if you are unsure how to report a payment.

Related article: Costco $14 Million Misleading Email Settlement Gets Final Approval in Washington

Do You Need to File a Claim Form?

No. Class members who do not opt out remain in the settlement and receive a payment if the court approves it. There is no separate claim form for this settlement.

What you can do is choose how you get paid. Without any action, payment is made by paper check. If you prefer an electronic method, use the payment-selection portal.

How to choose an electronic payment method

Available options are E-Mastercard, PayPal, Venmo and Zelle.

1. Go to the official payment-selection page: phaseiidatasettlement.com/form/payment.
2. Find the Login ID and PIN printed on your settlement notice.
3. Enter them into the portal.
4. Follow the instructions to select your payment method.

Lost your notice? Contact the administrator at (833) 360-6805 or [email protected] and provide your full name and mailing address to request your Login ID and PIN.

Scam warning: Only use the official website and the contact details on your notice. Do not share your Login ID, PIN, Social Security number or bank details with anyone who contacts you unexpectedly or promises a larger payment. The administrator will not ask you to pay a fee to receive your settlement money.

Your Options: Stay In, Opt Out or Object

Option	What it means	Deadline
Do nothing (stay in)	You receive a pro rata payment if the settlement is approved, and you give up the right to sue PARS over claims related to the incident	None
Opt out	You receive no payment but keep the right to bring your own lawsuit	December 1, 2026 (postmarked)
Object	You tell the court what you dislike about the settlement while staying in the class	December 1, 2026

You cannot both opt out and object. Objecting is only available to people who remain in the class.

Option 1: Stay in the settlement

If you do nothing, you remain in the class. If the court grants final approval and the settlement becomes effective, you will receive your payment. In return, you are bound by the settlement and its release of claims (explained below). You also cannot bring a separate lawsuit over the released claims.

Option 2: How to opt out

If you do not want to be bound by the settlement, you may request exclusion. If you opt out, you will not receive a payment, you keep whatever right you may have to sue PARS on your own over the incident, and you would generally need to hire your own lawyer and pay for it yourself.

Your written Request for Exclusion must be postmarked by December 1, 2026, and must include:

1. The case name and number: Winer v. Phase II Systems d/b/a Public Agency Retirement Services, Case No. 30-2024-01428283-CU-NP-CXC.
2. Your full name, mailing address, telephone number and email address.
3. Your signature.
4. The words “Request for Exclusion” or a clear statement that you do not want to participate.

You can opt out only for yourself, not for anyone else. A Request for Exclusion form is available on the settlement website. Mail it to:

PARS Security Incident Settlement ATTN: Exclusion Request P.O. Box 25226 Santa Ana, CA 92799-9958

Option 3: How to object

If you want to stay in the class but disagree with the settlement, the attorneys’ fees or the service award, you may object. An objection asks the court to consider your concerns. It does not remove you from the class, and you may still receive a payment if the court approves the settlement over your objection.

A valid written objection must be filed with the Clerk of the Court by December 1, 2026, with copies sent to the administrator, Class Counsel and PARS’ counsel. It must include:

• The case name and number.
• Your name, address, telephone number and email address.
• Whether the objection applies only to you, to a part of the class, or to the entire class.
• Every reason for your objection and any supporting documents.
• Your lawyer’s details, if you have one.
• A list of any other class action objections you or your lawyer have made in the past five years.
• Whether you or your lawyer plan to appear at the final approval hearing.
• Any witnesses or documents you plan to present.
• Your signature.

Send to	Address
Clerk of the Court	751 W Santa Ana Blvd., Santa Ana, CA 92701
Settlement Administrator	PARS Security Incident Settlement, ATTN: Objections, P.O. Box 25226, Santa Ana, CA 92799-9958
Class Counsel	Leigh S. Montgomery, EKSM, LLP, 4200 Montrose Blvd., Suite 200, Houston, TX 77006
Counsel for PARS	Raymond O. Aghaian, Baker & Hostetler LLP, 1900 Avenue of the Stars, Suite 2700, Los Angeles, CA 90067

You may also object orally at the final approval hearing. Do not contact the court or the clerk with questions about the settlement; contact the administrator instead.

Which option is right for you?

That depends on your circumstances. Staying in is the simplest path and results in a payment. Opting out preserves your right to sue but means no payment, and an individual data breach lawsuit can be costly and difficult to prove. Objecting lets you challenge the terms without giving up a potential payment. Read the long-form notice and Settlement Agreement before deciding, and consider speaking with a licensed attorney if you have significant losses from identity theft or fraud.

What Claims Do You Release if You Stay In?

If you remain in the class, you give up the right to sue PARS and related released parties over claims that arise out of or relate to the March 2024 security incident, whether those claims are known or unknown. Claims unrelated to the incident are not released. The exact language is in Section IX of the Settlement Agreement, which is posted on the settlement website’s documents page. Read it before making your decision.

Key Dates: PARS Settlement Timeline

Date	Event
March 2024	Cyberattack on PARS’ computer systems
October 2, 2026	Notice mailing begins
December 1, 2026	Opt-out deadline (postmark)
December 1, 2026	Objection deadline
February 1, 2027, 1:30 p.m. PT	Final approval hearing, Department CX103, Superior Court of Orange County
After final approval and any appeals	Payments distributed

The hearing date and time can change without further notice, so check the settlement website’s important dates page before relying on them.

When Will PARS Settlement Payments Be Sent?

There is no confirmed payment date. Payments go out only after the court grants final approval and any appeals are resolved. At the February 1, 2027 hearing, the court will decide whether the settlement is fair, reasonable and adequate and will rule on the requested attorneys’ fees, costs and service award, and any objections.

If someone appeals, distribution can be delayed, and the settlement website says it is not known whether an appeal will be filed or how long it would take. You do not have to attend the hearing to receive a payment.

How Court Approval Works for Class Action Settlements

In California state courts, a class action settlement cannot take effect until a judge approves it. Under California Rules of Court, rule 3.769, the court must review the proposed settlement, authorize notice to the class, and hold a final approval hearing where it decides whether the settlement is fair, adequate and reasonable to the class. Class actions in California are brought under Code of Civil Procedure section 382, which allows one or more people to sue on behalf of a larger group when the parties are numerous and share a common interest.

This review exists to protect class members, because the people who actually agreed to the deal are the class representative and the lawyers, not every affected individual. That is why you receive notice and have the right to opt out or object.

Who Are the Lawyers in the PARS Settlement?

The court appointed attorney Leigh S. Montgomery of EKSM, LLP as Class Counsel. You are not charged separately for Class Counsel’s work; their fees are paid from the settlement fund only if approved by the court. You may hire your own lawyer at your own expense. PARS is represented by Raymond O. Aghaian of Baker & Hostetler LLP.

What Happened in the PARS Data Breach?

PARS is a retirement services company. In March 2024, an unauthorized party carried out a targeted cyberattack on its systems. According to the settlement website, certain files containing private information were accessed, and they may have included full names and Social Security numbers. PARS identified class members from its records, and many were notified directly. The settlement does not say that every class member suffered fraud or financial loss.

Your Legal Rights After a Data Breach

Several federal and California laws apply to data breaches and identity protection. They exist apart from this settlement.

• California breach notification law (Civil Code section 1798.82): Businesses that own or license computerized personal information of California residents must notify affected residents of a breach in the most expedient time possible and without unreasonable delay.
• California reasonable security requirement (Civil Code section 1798.81.5): Businesses that own, license or maintain California residents’ personal information must use reasonable security procedures appropriate to the nature of the information.
• California Consumer Privacy Act (Civil Code section 1798.150): California residents may bring a private action over certain data breaches caused by a business’s failure to maintain reasonable security, with statutory damages that can range from $100 to $750 per consumer per incident, subject to the law’s notice-and-cure requirements. This article does not say whether that law was asserted in this case; it is context only.
• Free credit freezes (federal law): Since 2018, federal law requires the nationwide credit bureaus to provide credit freezes and lifts at no charge.
• Fraud alerts (Fair Credit Reporting Act, 15 U.S.C. section 1681c-1): You can place an initial fraud alert that lasts one year, and an extended alert of seven years if you have been a victim of identity theft and submit an identity theft report.
• Free credit reports: You can get free credit reports at AnnualCreditReport.com.
• Federal identity theft law (18 U.S.C. section 1028): Knowingly using another person’s identification to commit unlawful activity is a federal crime.

These are general summaries, not legal advice, and how they apply depends on your circumstances and where you live.

What Should You Do if Your Information Was Exposed?

A settlement payment does not remove the risk that comes with exposed Social Security numbers. Consider these steps:

• Place a credit freeze with Equifax, Experian and TransUnion. It is free and restricts access to your credit report, making it harder for someone to open new accounts in your name.
• Consider a fraud alert if you want lenders to take extra steps to verify your identity.
• Review your credit reports regularly at AnnualCreditReport.com.
• Monitor bank and card statements for transactions you do not recognize.
• Get an IRS Identity Protection PIN to help prevent someone from filing a tax return using your Social Security number.
• Report identity theft at IdentityTheft.gov, the Federal Trade Commission’s reporting and recovery site.
• Be cautious of phishing calls, emails and texts that mention this settlement or ask for personal information.
• Use strong, unique passwords and turn on multi-factor authentication for email and financial accounts.
• Keep your settlement records, including your notice, Login ID and PIN, and any administrator correspondence.

Frequently Asked Questions

How much is the PARS data breach settlement?

The settlement fund is $750,000. After court-approved attorneys’ fees and costs, a service award and administration costs are deducted, the remainder is divided among class members who do not opt out.

Is the PARS settlement legitimate?

Yes, it has an official website, a named court, a case number and an independent administrator (Simpluris). The case is Winer v. Phase II Systems, pending in the Superior Court of Orange County. The court still must grant final approval.

Do I have to file a claim to get paid?

No. If you are a class member and do not opt out, you receive a payment automatically if the settlement is approved. You can optionally select an electronic payment method with your Login ID and PIN.

How much will each person receive?

The individual amount has not been confirmed. It depends on the net fund and the number of class members who remain in the settlement.

What is the deadline to opt out of the PARS settlement?

December 1, 2026. Your Request for Exclusion must be postmarked by that date.

What is the deadline to object?

December 1, 2026. File the objection with the Clerk of the Court and send copies to the administrator, Class Counsel and PARS’ counsel.

Can I object and still get paid?

Yes. Objecting keeps you in the class, so you may still receive a payment if the court approves the settlement. You cannot object after validly opting out.

What happens if I opt out?

You receive no payment from this settlement, are not bound by its release, and keep the right to pursue your own claim.

When is the final approval hearing?

February 1, 2027, at 1:30 p.m. Pacific Time, in Department CX103 of the Superior Court of Orange County, 751 W Santa Ana Blvd., Santa Ana, CA 92701. You do not have to attend.

I lost my notice. How do I get my Login ID and PIN?

Email [email protected] or call (833) 360-6805 and provide your full name and mailing address.

Did PARS admit wrongdoing?

No. PARS denies wrongdoing, and the court has not decided who is right.

Where can I read the full settlement documents?

The settlement website’s Important Documents page lists the long-form notice, the Settlement Agreement and the Request for Exclusion form.

Bottom Line

The proposed PARS settlement creates a $750,000 fund for U.S. residents whose personal information was compromised in the March 2024 cyberattack. Class members who stay in do not need to file a claim and will receive a pro rata payment if the court approves the settlement. The amount is not yet known, and payment depends on final approval and the resolution of any appeals.

If you want to opt out or object, the deadline is December 1, 2026. Read the official notice, choose an electronic payment method if you prefer one, and check the settlement website for updates before the February 1, 2027 hearing.

Sources

• Official settlement website: https://phaseiidatasettlement.com/
• Official FAQs: https://phaseiidatasettlement.com/faq/
• Important dates: https://phaseiidatasettlement.com/dates/
• Important documents (long-form notice, Settlement Agreement, Request for Exclusion form): https://phaseiidatasettlement.com/documents/
• Payment-selection portal: https://phaseiidatasettlement.com/form/payment
• California Code of Civil Procedure section 382
• California Rules of Court, rule 3.769
• California Civil Code sections 1798.81.5, 1798.82 and 1798.150
• Fair Credit Reporting Act, 15 U.S.C. section 1681c-1
• 18 U.S.C. section 1028
• Federal Trade Commission: IdentityTheft.gov
• AnnualCreditReport.com

Disclaimer: This article is for general information only and is not legal or tax advice. The author is a legal content researcher, not a practicing attorney. Deadlines, amounts and court dates can change, so confirm everything on the official settlement website or with the settlement administrator.

By Israr Ahmad, Founder and Legal Content Researcher, AllAboutLawyer.com