Surgical neurophysiologists who worked for SpecialtyCare under its training repayment agreement between August 23, 2017 and June 10, 2026 will be paid automatically from the $725,000 SpecialtyCare class action settlement, with no claim form to file, and SpecialtyCare will stop collecting repayment debt from them. The deadline to opt out or object is November 2, 2026, and the final approval hearing is December 11, 2026.
Current Status
The court granted preliminary approval on September 2, 2026. There is no claim form: class members are paid automatically if the settlement is approved. The deadline to opt out or object is November 2, 2026 (postmark), and the final approval hearing is set for December 11, 2026. No payment date had been announced as of September 30, 2026. Class members who want to be paid and have their repayment debt cancelled do not need to do anything, other than keep their address current with the settlement administrator.Free settlement alerts
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What Changed Recently?
SpecialtyCare, Inc., which provides surgical neurophysiologists (SNs) who monitor patients’ nerve function during surgery, agreed to settle Fuchs, et al. v. SpecialtyCare, Inc., Case No. 3:23-cv-00892, in the U.S. District Court for the Middle District of Tennessee. Chief Judge William L. Campbell, Jr. granted preliminary approval on September 2, 2026, and appointed ILYM Group as settlement administrator.The lawsuit, filed in August 2023, challenges SpecialtyCare’s training repayment agreement, which the company calls its Associate Repayment Agreement. It requires SNs who leave before completing three years of work to pay SpecialtyCare money. The SNs allege the agreement is an unlawful restraint of trade under Tennessee law and violates the federal Truth in Lending Act. SpecialtyCare denies that the agreement breaks any law and denies any wrongdoing.
The case was close to trial. The court had certified classes, dismissed separate federal overtime (FLSA) claims, and in March 2026 denied both sides’ motions for summary judgment. Two earlier mediations failed; the parties reached an agreement in principle on July 1, 2026.
Who Qualifies?
The settlement class is made up of two overlapping groups of SNs who worked for SpecialtyCare and were subject to the training repayment agreement:- Restraint of trade group: anyone subject to the agreement at any point from August 23, 2017 to June 10, 2026. It excludes SNs who signed general releases, who resigned within 30 days, or who qualified for a contractual exception to the repayment obligation.
- Truth in Lending Act group: anyone subject to the agreement at any point from August 23, 2022 to June 10, 2026, except SNs who signed general releases.
How Much Can You Get?
SpecialtyCare will pay $725,000 into a fund, none of which goes back to the company. Payments are expected to range from at least $100 to about $10,727, based on the settlement agreement’s allocation:- First, anyone who already paid SpecialtyCare under the agreement for leaving early has 100% of that amount set aside for them.
- The rest is split into three pools, sized by the number of people in each: an equal share for the Truth in Lending Act group; a share of the restraint of trade pool that grows with length of employment; and, for current employees, a share that is larger for shorter tenures, since they had more of the three years left to serve.
- Every allocation is then reduced proportionally for court-approved fees, costs and expenses, and anyone below $100 is raised to $100.
The debt relief may be worth more to some class members than the check. If the settlement is approved, SpecialtyCare will not try to collect any amount it says a class member owes under the training repayment agreement. SNs who were current employees on June 10, 2026 would not have to pay anything if they later leave before finishing three years. The relief covers only the training repayment agreement, not other agreements, overpayments or obligations.
What Proof or Notice ID Is Required?
None. There is no claim form and no notice ID to enter. Payments are calculated from SpecialtyCare’s employment records, and class members are notified by email or, if an email bounces, by postcard. Class members who want to confirm their mailing address or ask for a payment method other than a paper check can do so through the settlement website’s contact page.What Is the Deadline?
There is no deadline to claim, because there is no claim. The only deadline is November 2, 2026, for opting out or objecting. Opt-out forms, which come with the notice, must be mailed to the administrator by that date. Objections must be sent by that date too, following the instructions on the settlement website. SpecialtyCare may cancel the settlement if more than 10 class members opt out, or if those who opt out account for more than 3% of the total money allocated.How Do You Take Action?
Most class members need to do nothing. The official SpecialtyCare settlement website posts the notice, the settlement agreement and other court filings, and explains how to update an address, opt out or object.Opting out means no payment and no debt relief, so SpecialtyCare could still try to collect repayment from anyone who opts out. It does keep the right to bring a separate lawsuit.
What Happens Next?
The court will hold the final approval hearing at 1:30 p.m. on December 11, 2026, in Nashville, and will rule on the fee and expense requests. The hearing date can change without further notice.If the settlement is approved and becomes effective, SpecialtyCare funds it within 21 days, and the administrator sends payments within 14 days after receiving the money. If anyone files an objection, the Effective Date waits until any appeal is resolved. Checks must be cashed within 90 days; after that, the money goes to the unclaimed property fund of the state where the class member last lived.
Sources and Verification
• Official settlement website, administered by ILYM Group: SpecialtyCare Inc Settlement• Settlement documents, including the settlement agreement and court orders: Important Documents
• Settlement notice and documents (PDF): SpecialtyCare Settlement Notice
• Settlement Agreement and Release, Fuchs, et al. v. SpecialtyCare, Inc., No. 3:23-cv-00892 (M.D. Tenn.), ECF No. 234-3, filed August 14, 2026
• Order Granting Preliminary Settlement Approval, ECF No. 235, September 2, 2026
Questions
Do I have to pay back SpecialtyCare if I leave before three years?
Not if the settlement is approved and you stay in the class. SpecialtyCare agreed not to collect any amount it says class members owe under the training repayment agreement, including amounts that would come due for employees who were still working there on June 10, 2026 and leave before completing three years. The relief covers only the training repayment agreement, not other agreements or obligations.
I already paid SpecialtyCare under the repayment agreement. Do I get that back?
The allocation starts by setting aside 100% of what each class member paid SpecialtyCare under the agreement, as of June 10, 2026, for that person. Like every allocation, it is then reduced proportionally for court-approved fees, costs and administration expenses, so the final check may be less than the amount paid.
Why would someone opt out?
Opting out keeps the right to bring a separate lawsuit over the same issues, but it also gives up both the payment and the debt relief. SpecialtyCare could still try to collect repayment from someone who opts out. Opt-out forms must be mailed by November 2, 2026.
How much will the lawyers take?
Class counsel will ask the court for up to $241,667 in fees and up to $206,000 in expenses. Administration is expected to cost $7,999.99, and each of the two class representatives may receive up to $5,000. All of it comes out of the $725,000 fund if approved, which would leave about $259,300 for class members. Class members can object to the fee request by November 2, 2026.
When will checks be mailed?
Only after the court grants final approval and the settlement becomes effective. SpecialtyCare funds the settlement within 21 days after the Effective Date, and the administrator distributes payments within 14 days after that. The final approval hearing is December 11, 2026. Checks must be cashed within 90 days, after which uncashed money goes to the state unclaimed property fund where the class member last lived.
