Sandhills Medical Foundation Class Action Launched — 169K-Patient INC Ransom Breach First Major FQHC Ransomware Litigation of 2026

South Carolina FQHC Sandhills Medical Foundation (serving Chesterfield, Kershaw, Lancaster, Sumter Counties, SC — primary care, BH, immunizations) faces class action investigation announced May 3, 2026. INC Ransom ransomware group exfiltrated 169,017 patient records May 2-8, 2025; notification letters mailed April 28, 2026. Data included SSN, ITIN, DL#, passport#, financial info, PHI. CA FQHCs should note this is the largest FQHC ransomware breach reported in 2026 and sets a class-action precedent for safety-net providers — OCR investigation expected to follow given 169K exceeds the 500-patient OCR Breach Portal threshold. Pairs with Community Health Action Staten Island GENESIS ransomware (60K HIV testing records, Feb 13) and Good Samaritan Health Center Atlanta (10K, Feb 9) — three safety-net clinic ransomware breaches in Q1 2026 establish a clear pattern. Strategic implication for CA FQHC CISOs/Privacy Officers: (1) Cyber insurance limits and ransomware riders need re-audit against 2026 settlement floors; (2) Class action precedent in SC will inform NY/CA plaintiffs' bar appetite; (3) HHS OCR's new Health Information Privacy/Data & Cybersecurity Division (May 18) targets exactly this scenario.