Red Coats Inc. Data Breach Settlement, Claim Up to $5,000 and Free Credit Monitoring by January 7, 2027

Red Coats, Inc. has agreed to settle a class action over a targeted cyberattack in May 2025 that involved unauthorized access to files that may have contained names, addresses, Social Security numbers and driver’s license numbers. Eligible people can claim one year of credit monitoring plus cash reimbursement of up to $5,000 in total.

That $5,000 is a ceiling, not a check everyone gets. Receiving a breach letter doesn’t trigger a payment, you have to file a valid claim, and ordinary losses and time spent responding to the breach share a combined $2,000 cap, with another $3,000 available only for qualifying extraordinary losses. Red Coats denies wrongdoing, and the court hasn’t decided who is right.

The case is Rush et al. v. Red Coats, Inc., Case No. C-15-CV-26-001098, in the Circuit Court for Montgomery County, Maryland. The settlement is proposed and awaits final approval.

Claim deadline: January 7, 2027. Opt-out and objection deadline: December 8, 2026. Final approval hearing: January 4, 2027, 10:00 a.m. ET.

Quick Facts

Detail	Information
Company	Red Coats, Inc.
Case	Rush et al. v. Red Coats, Inc.
Case number	C-15-CV-26-001098
Court	Circuit Court for Montgomery County, Maryland
Incident	Targeted cyberattack, May 2025
Approximate class size	About 35,000, per the settlement agreement
Ordinary out-of-pocket losses	Up to $2,000 (shared cap with attested time)
Attested time	Up to $100 (4 hours at $25), inside the $2,000 shared cap
Extraordinary losses	Up to $3,000
Maximum cash benefits	Up to $5,000
Credit monitoring	One year of CyEx Financial Shield Complete
Proof required	Yes, for loss reimbursement
Claim form required	Yes
Claim deadline	January 7, 2027
Opt-out and objection deadline	December 8, 2026
Final approval hearing	January 4, 2027, 10:00 a.m. ET
Administrator	Simpluris
Official website	redcoatssettlement.com

What Happened in the Red Coats Data Breach?

In May 2025, an outside attacker accessed Red Coats’ systems, and files containing private information were reached. According to the court-authorized notice, those files may have contained names, mailing addresses, Social Security numbers and driver’s license numbers. Those categories can be used for identity theft, such as applying for credit or opening accounts in someone else’s name.

What the settlement materials don’t establish matters too. They don’t say that every class member had all four types of information exposed, who the attacker was, how the systems were accessed, whether the data was published or sold, how many people suffered fraud or how many had financial losses. The settlement resolves legal claims. It isn’t proof that anyone’s information was stolen or misused.

Why Is Red Coats Facing a Class Action?

The plaintiffs allege Red Coats failed to adequately protect private information from unauthorized access. People hand over identifying information for work or business reasons, and when an outsider breaks into a company’s records, the people affected can face costs they didn’t cause: monitoring credit, changing passwords, replacing ID, calling banks, chasing unauthorized charges and trying to recover stolen money.

The plaintiffs sued on behalf of other people who got written notice of the incident. The parties settled rather than litigate liability, damages and trial costs.

Did Red Coats admit it failed to protect personal information?

No. Red Coats denies wrongdoing, and the notice says the court hasn’t decided which side is right. The agreement is a compromise, not a finding that Red Coats violated any data protection law. According to published summaries of the agreement, Red Coats also represented that it added security measures after the incident and agreed to confirm them confidentially to class counsel. The notice doesn’t detail those changes.

Who Qualifies?

The class is all persons who were sent written notification of the Data Incident. That’s the key test. You may qualify if Red Coats sent you a written notice saying your private information may have been compromised in the May 2025 attack. Being a Red Coats employee, former employee, customer, contractor or business contact doesn’t qualify you on its own.

If you got a breach letter, potentially yes. Red Coats’ records indicate recipients of the settlement notice are class members. Some people also got an earlier notice directly from Red Coats, so keep your original letter.

If you lost your letter, you may still be a class member, because the class is defined by whether notice was sent, not whether you kept a copy. Ask the administrator whether you’re in its records: 1-833-360-6781 or [email protected].

If you haven’t had financial losses, you may still qualify for credit monitoring and the attested-time benefit. You don’t have to prove money was stolen to claim those.

Excluded: the judge assigned to review the settlement, and anyone found guilty of, or who pleads no contest to, initiating, causing, aiding or abetting the criminal activity behind the incident.

How Much Can You Get?

There’s no automatic payment for getting a notice. Benefits depend on what you lost, what time you spent and what you choose to claim, and you can claim more than one type.

1. Ordinary out-of-pocket losses: up to $2,000

You can be reimbursed for actual, documented expenses caused by the incident, such as:

• Identity theft or fraud-related losses
• Credit report fees
• Credit monitoring expenses
• Credit freeze and unfreeze fees
• Replacing identification documents
• Postage for contacting banks by mail

The expenses must have occurred between May 26, 2025 and January 7, 2027, and you need reasonable proof: receipts, bank statements, credit monitoring invoices, payment confirmations or records of identity-related costs. A declaration or affidavit alone isn’t enough for an otherwise unsupported claim. A written explanation can help clarify other evidence but can’t replace it. You can’t claim anything already reimbursed by someone else.

2. Extraordinary out-of-pocket losses: up to $3,000

This is for people who actually lost money to identity theft or fraud connected to the incident. You have to show three things:

1. The fraud was more likely than not caused by the incident. Fraud at some point after May 2025 isn’t enough. You need evidence tying it to the Red Coats incident.
2. The loss isn’t already covered as an ordinary loss. The same loss can’t be claimed twice.
3. You made reasonable efforts to prevent or recover the loss, such as contacting your bank, seeking insurance reimbursement or trying other recovery channels.

The losses must fall between May 26, 2025 and January 7, 2027. Fraud reports, bank records and other documents help show the amount and the circumstances. A personal explanation by itself is insufficient.

Related article: Fordham University $2.55 Million COVID Class Action Settlement, Who Qualifies, How Payments Work and the December 14, 2026 Deadline

3. Attested time: up to $100

Time spent	Reimbursement
1 hour	$25
2 hours	$50
3 hours	$75
4 hours	$100

Qualifying activities include changing passwords because of the incident, investigating suspicious account activity, researching the breach and taking other reasonable response steps. You must briefly describe what you did. No receipts are needed for the hours, but your description must be truthful.

The shared cap: ordinary losses and attested time together are limited to $2,000. Don’t add $2,000 and $100 and expect $2,100.

4. One year of credit monitoring

Every class member can claim one year of CyEx Financial Shield Complete, which includes monitoring for fraud and identity theft, unauthorized financial transactions and personal information used in high-risk transactions, plus a fraud-resolution agent and $1 million in financial fraud insurance. The $1 million is insurance inside the service, subject to its terms. It isn’t a cash payment.

Can anyone get the full $5,000?

Potentially, if they meet the requirements for each category and document their losses: $2,000 combined for ordinary losses and time, plus $3,000 extraordinary, plus the monitoring service. Most class members won’t.

Is there a fixed settlement fund?

The notice doesn’t describe a common fund that gets split. The $5,000 is an individual maximum, and the benefit is built around approved claims. Class counsel’s fees and costs and the service awards are paid by Red Coats on top of class benefits, subject to court approval.

How to File a Claim

A valid claim is the only way to get benefits. Deadline: January 7, 2027.

File online

1. Go to the official claim portal.
2. Find the Unique ID and PIN on your settlement notice and log in.
3. Select the benefits you’re claiming and complete the form.
4. Upload supporting documents for ordinary or extraordinary losses.
5. Describe your time if you’re claiming attested time.
6. Review and submit.

File by mail

Download the claim form (PDF), sign it, attach your supporting documents and mail it to:

Red Coats Data Incident Settlement c/o Settlement Administrator P.O. Box 25226 Santa Ana, CA 92799-9958

It must be postmarked by January 7, 2027.

Can’t find your Unique ID and PIN?

Call 1-833-360-6781 or email [email protected]. The administrator can help you find your claim information or send a printable form.

What to prepare

Benefit	What you need
Credit monitoring	Completed claim form
Attested time	Short description of your response activities and time
Ordinary losses	Receipts, statements, invoices or other reasonable records
Extraordinary losses	Records of the fraud, the money lost, its link to the incident and your recovery efforts

If you paid $75 to replace an ID, keep the receipt and anything linking the replacement to the incident. For extraordinary losses, also keep fraud reports, letters with your bank and proof of recovery attempts. Don’t claim expenses you didn’t have or more time than you spent. For how another Simpluris-run data incident settlement handles documentation, see our coverage of the Communications Data Group settlement.

Deadlines and Your Options

Action	Deadline
Opt out	December 8, 2026
Object	December 8, 2026
Final approval hearing	January 4, 2027, 10:00 a.m. ET
File a claim online	January 7, 2027
File a claim by mail	Postmarked by January 7, 2027

The claim deadline isn’t the deadline to protect your right to sue. If you want out, don’t wait until January 7.

Opting out

Submit a signed written request by December 8, 2026 that includes the case name (Rush et al. v. Red Coats, Inc.), case number C-15-CV-26-001098, your full name, mailing address, phone number and email, and the words Opt-Out Request or a clear statement that you don’t want to participate. Mail it to Red Coats Data Incident Settlement, ATTN: Exclusion Request, P.O. Box 25226, Santa Ana, CA 92799-9958, postmarked by December 8. The administrator’s FAQ also mentions email submission, so contact the administrator to confirm that route before relying on it.

If you opt out you get no benefits and keep whatever right you have to bring your own case, which isn’t guaranteed to win. You’d have to weigh your own legal costs, evidence and time limits, and you can’t object after opting out.

Objecting

You stay in the class and ask the court not to approve something. The deadline is December 8, 2026. Your objection must include the case name and number, your full name and contact details, the specific reasons for your objection, supporting documents, the identity of any lawyers representing you and your signature or your attorney’s. It must be filed with the Clerk of the Court, with copies mailed to the other parties:

• Clerk of the Court: Circuit Court for Montgomery County, 50 Maryland Avenue, Rockville, MD 20850
• Settlement Administrator: Red Coats Data Incident Settlement, ATTN: Objections, P.O. Box 25226, Santa Ana, CA 92799-9958
• Class Counsel: Gary M. Klinger, Milberg PLLC, 277 Monroe Street, Suite 2100, Chicago, IL 60606
• Defendant’s Counsel: Jenn O. Hatcher, Shook, Hardy & Bacon LLP, 2555 Grand Boulevard, Kansas City, MO 64108

If you object and stay in, you can still submit a claim.

Doing nothing

You get no cash and no credit monitoring, you stay in the class unless you opt out and, if the court grants final approval, you give up the claims covered by the release. Doing nothing doesn’t protect your right to sue. If you want any benefit, file a valid claim by January 7, 2027.

What Claims Do You Give Up?

Staying in the settlement means a release of claims about the data incident. The notice points readers to Section III of the Settlement Agreement, especially Paragraphs 56–59, for exactly what is released. Generally you can’t join another lawsuit against Red Coats over the legal issues the settlement resolves, which can matter if you discover more losses from the same incident later. The release shouldn’t be read as wiping out every possible claim of any kind, because its scope depends on the agreement’s language. I couldn’t open the agreement itself, so read those paragraphs on the documents page, and if you have your own lawsuit or a separate claim, get independent legal advice before the opt-out deadline.

How the Case Got to Maryland State Court

Date	Development
November 12, 2025	Separate federal actions in the District of Maryland consolidated
January 13, 2026	Federal proceedings voluntarily dismissed
February 24, 2026	Case refiled in Maryland state court
April 21, 2026	Settlement agreement filed
October 9, 2026	Notice mailing begins
December 8, 2026	Opt-out and objection deadline
January 4, 2027	Final approval hearing
January 7, 2027	Claim deadline

The notice identifies Chloris Smith and Jermaine Jackson, Jr. as the class representatives. The federal cases were dismissed voluntarily before the state case went forward, and nothing in the settlement materials is a court finding that Red Coats was liable or that the claims lacked merit.

The Law Behind the Red Coats Case

The notice doesn’t list every claim in the underlying complaints, so what follows is legal background, not a statement that a court found violations or that every claim below was pleaded.

Maryland Personal Information Protection Act (Md. Code, Com. Law §§ 14-3501 to 14-3508)

PIPA sets rules for protecting Maryland residents’ personal information.

• § 14-3503 requires a business that owns, maintains or licenses personal information of Maryland residents to implement and maintain reasonable security procedures and practices appropriate to the nature of the information and the size and operations of the business. A cyberattack by itself doesn’t prove those safeguards were unreasonable.
• § 14-3504 covers breach notification. After a breach, a business must promptly investigate whether personal information has been or will be misused. Unless it reasonably determines misuse is unlikely, it must notify affected individuals as soon as reasonably practicable and generally no later than 45 days after discovering the breach, subject to exceptions. Businesses also generally have to notify the Maryland Attorney General. The settlement materials don’t say whether Red Coats met those timing rules.
• § 14-3508 provides that a PIPA violation is an unfair or deceptive trade practice under Title 13 of the Commercial Law Article, enforceable under its penalty provisions. Read the statute.

Maryland Consumer Protection Act (Com. Law, Title 13)

This is the state’s unfair and deceptive trade practices law, tied to PIPA through § 14-3508. I can’t tell from the notice whether a Consumer Protection Act claim was pleaded here.

Maryland Rule 2-231 (class actions)

Rule 2-231 governs class actions in Maryland circuit courts: numerosity, common questions, typical claims, adequate representation and notice to class members. Under Rule 2-231(i), a class action can’t be dismissed or compromised without court approval. That’s why the parties can’t just announce a deal and start paying. The court has to review the compromise and class members’ rights. Maryland Rule 2-231.

Negligence

Data breach suits often include negligence: a duty, a breach, causation and legally recognized damages. An outside criminal attack doesn’t by itself prove the company was negligent, and a settlement doesn’t show the claim would have won at trial.

Federal law and time limits

No federal statute gives individuals a private right to sue over a data breach, though the Federal Trade Commission can pursue unreasonable data security as an unfair practice under Section 5 of the FTC Act (15 U.S.C. § 45). Separately, the Fair Credit Reporting Act (15 U.S.C. § 1681c-1) gives you the right to place and lift a credit freeze for free, whether or not you claim anything here. For anyone weighing an opt-out, Maryland’s general limitations period for civil claims is three years (Md. Code, Cts. & Jud. Proc. § 5-101), and timing rules can be complicated, so ask an attorney before the deadline.

When Will Payments Be Sent?

There’s no confirmed payment date. The final approval hearing is January 4, 2027, at 10:00 a.m. Eastern at the Circuit Court for Montgomery County, 50 Maryland Avenue, Rockville, MD 20850. The judge will consider whether to approve the settlement, whether it’s fair to class members, any timely objections, class counsel’s fee request and the service awards. If approved, the administrator can process and pay approved benefits, but appeals can delay that. Hearing details can change, so check the official site.

What Will the Lawyers Get?

Class counsel are Milberg PLLC, Kopelowitz Ostrow P.A. and Cole & Van Note. They’ll ask the court to approve up to $200,000 in attorneys’ fees and litigation costs and service awards of $1,500 for each class representative. Red Coats pays these, subject to court approval, and the judge decides.

Protect Yourself After a Data Breach

Claiming benefits doesn’t prevent fraud. If you got a notice:

• Place a free credit freeze with Equifax, Experian and TransUnion.
• Check your credit reports at AnnualCreditReport.com.
• Review bank and card statements for charges you don’t recognize.
• Turn on multi-factor authentication for banking and email.
• Watch for phishing that uses details from the breach.
• If your identity is misused, report it at IdentityTheft.gov and keep records of expenses and time, since they can support a claim.
• If your Social Security number may have been exposed, consider an IRS Identity Protection PIN.

Contacting the Administrator

Simpluris is the settlement administrator: 1-833-360-6781, [email protected], Red Coats Data Incident Settlement, c/o Settlement Administrator, P.O. Box 25226, Santa Ana, CA 92799-9958. Official pages: website, claim portal, FAQs and documents.

Frequently Asked Questions About the Red Coats Data Breach Settlement

Is the Red Coats data breach settlement real?

Yes. It’s a proposed class action settlement in Rush et al. v. Red Coats, Inc. in the Circuit Court for Montgomery County, Maryland. The court hasn’t granted final approval yet.

Can I get $5,000 from the Red Coats settlement?

Potentially, but only if you meet the requirements for each benefit and document your losses. The maximum is up to $5,000, and it isn’t a guaranteed payment.

Can I get Red Coats settlement money without receipts?

You can claim up to $100 for attested time by briefly describing what you did. Ordinary and extraordinary losses require supporting records.

Do I qualify for the Red Coats settlement if I only got a breach notice?

Getting written notice makes you a class member, but you must file a valid claim to receive anything.

Is the Red Coats settlement limited to Maryland residents?

No residency requirement appears in the published class definition. It covers people who were sent written notice of the incident, subject to the exclusions.

Do all Red Coats employees automatically qualify?

No. What matters is whether you got written notification of the May 2025 incident.

Were Social Security numbers exposed in the Red Coats data breach?

The notice says the accessed files may have contained Social Security numbers, names, addresses and driver’s license numbers. It doesn’t confirm that every class member’s number was exposed.

What is the Red Coats settlement claim deadline?

January 7, 2027. Paper claims must be postmarked by that date.

What are the Red Coats opt-out and objection deadlines?

Both are December 8, 2026. Objections must be filed with the Clerk of the Court and copies sent to the specified parties.

Do I get free credit monitoring from the Red Coats settlement?

Yes. Class members who file a valid claim can get one year of CyEx Financial Shield Complete.

Does the $1 million fraud insurance mean I get $1 million?

No. It’s insurance inside the monitoring service, not a cash payment.

Can I claim ordinary losses and attested time together?

Yes, but they share a $2,000 combined cap. Extraordinary losses have a separate $3,000 limit.

What happens if I do nothing about the Red Coats settlement?

You get no benefits and, if the court approves the settlement, you give up the claims covered by the release.

Can I sue Red Coats separately after claiming settlement money?

Generally not over claims the release covers. Read Section III of the agreement (Paragraphs 56–59) for the exact scope.

When will Red Coats settlement payments arrive?

There’s no confirmed date. The hearing is January 4, 2027, and payments follow final approval and the resolution of any appeals.

What Red Coats Data Breach Victims Should Do Now

Find your notice and your Unique ID and PIN, gather receipts and statements for any losses, write an honest description of your time, decide which benefits you want and file by January 7, 2027. If you’re thinking about opting out, the date that matters is December 8, 2026, and opting out and claiming are mutually exclusive. This settlement reimburses actual qualifying losses and offers a year of monitoring. It isn’t a guaranteed payment to everyone who got a letter.

More data breach coverage: Educational Computer Systems $6.5M Settlement, Due Dec. 21 and Scrubs & Beyond Kindthread Data Breach: Claim Up To $2,500.

Sources and Court Records

1. Official settlement website
2. Court-authorized notice
3. Settlement agreement
4. Claim form
5. Settlement FAQs
6. Important dates
7. Administrator contact page
8. Md. Com. Law § 14-3503
9. Md. Com. Law § 14-3504
10. Md. Com. Law § 14-3508
11. Maryland Rule 2-231
12. 15 U.S.C. §§ 45 and 1681c-1; Md. Code, Cts. & Jud. Proc. § 5-101

About the author: Researched and written by Israr Ahmad using the official settlement notice, administrator materials, court information and Maryland law.

Disclaimer: AllAboutLawyer.com is an independent legal information website. It is not a law firm, does not provide legal representation or advice and nothing here creates an attorney-client relationship. The official notice, agreement and court orders control over this summary. Red Coats denies wrongdoing, the settlement is subject to final court approval and benefits depend on the approved terms and the administrator’s review. Statutes and deadlines can change, so confirm them on the official website or with a licensed attorney before relying on this article.