Policy & Compliance
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June 17, 2025
Medical AI Co. Calls Rival's Suit A Ploy To Kill Competition
A Canadian artificial intelligence company focusing on medical information has asked a Massachusetts federal judge to toss out a recent trade secrets lawsuit, saying the complaint is an attempt to thwart competition based solely on speculation.
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June 16, 2025
Life Spine Accuses Ex-CEO Of Stealing Money, Trade Secrets
Spinal device maker Life Spine slapped its founder with a civil suit in Illinois state court Friday accusing him of embezzling millions of dollars from the company through fraudulent credit card charges for motorsports, a lavish Mexico vacation for his family, customized golf clubs, jewelry and a Porsche for his wife.
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June 16, 2025
Ohio Tells 6th Circ. PBM Case Doesn't Target Federal Work
Ohio urged the Sixth Circuit to send its case accusing Express Scripts and Prime Therapeutics of driving up prescription drug prices through rebate schemes back to state court, arguing the case doesn't target any federal government work by the pharmacy benefit managers.
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June 16, 2025
HIV, AIDS Patients Denied Class Cert. In CVS Bias Fight
A California federal judge has refused to certify a proposed class of HIV and AIDS patients alleging CVS Pharmacy Inc. violated federal disability bias protections by making their medication harder to access, finding the proposed group failed to meet the commonality standards under federal law.
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June 16, 2025
Mass. Judge Blocks NIH Grant Cuts, Points To 'Discrimination'
A Massachusetts federal judge on Monday blocked the National Institutes of Health from cutting hundreds of grant programs to universities, hospitals and other organizations, saying that in his 40 years on the bench he had never seen such "palpable" racial and LGBTQ discrimination from the government.
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June 16, 2025
Justices Turn Away Merck's Bone Drug Warning Label Row
The U.S. Supreme Court on Monday rejected Merck Sharp & Dohme Corp.'s request to review a Third Circuit decision that more than 1,000 failure-to-warn claims over its osteoporosis drug Fosamax can continue despite the company's assertion that the litigation is barred by federal law.
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June 16, 2025
Justices Take Up NJ Anti-Abortion Group's Subpoena Fight
The U.S. Supreme Court on Monday agreed to review the Third Circuit's dismissal of an anti-abortion pregnancy center's federal lawsuit challenging a subpoena from the New Jersey attorney general demanding information about its donors.
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June 13, 2025
Injunction Sought After J&J Unit's Catheter Antitrust Loss
Innovative Health is seeking a permanent injunction that would ban Johnson & Johnson health tech unit Biosense Webster from conditioning the provision of cardiac mapping services on purchases of cardiac catheters, after Innovative Health netted a $442 million trial win on its antitrust claims.
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June 13, 2025
5th Circ. Says No Private Right Of Action In No Surprises Act
The Fifth Circuit has ruled a pair of flight ambulance providers cannot pursue their lawsuit seeking to enforce out-of-network billing dispute resolution awards against a health insurance company, saying there's no private right of action built into a 2022 law that protects patients from surprise medical bills.
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June 13, 2025
Pa. Home Care Agency Owner Gets Prison, $235K Restitution
The New York-based owner of a Berks County, Pennsylvania, home care agency has been sentenced to spend a month in jail and repay $235,778 in fraudulently billed Medicaid claims, the Pennsylvania Attorney General's Office announced Friday.
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June 13, 2025
EEOC Says Henry Ford Ignored Subpoena Over Bias Charge
Michigan's Henry Ford health system has ignored a subpoena from the U.S. Equal Employment Opportunity Commission seeking information into a worker's bias charge, according to a federal court filing from the agency seeking an order enforcing the request.
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June 13, 2025
CVS Wants To Halt Ark. Law Banning PBM-Owned Pharmacies
CVS urged an Arkansas federal judge to block a new state law from taking effect that would ban pharmacy benefits managers from owning pharmacies in the state, arguing the law shirks the U.S. Constitution by tamping down competition and discriminating against out-of-state businesses.
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June 12, 2025
Florida, Sandoz Say They've Fixed Generic Drug Price-Fix Deal
The Florida Attorney General's Office and Sandoz Inc. have told a Connecticut federal court they've fixed the problems the court identified with a generic drug price-fixing settlement after other states with claims in the case objected to a clause in the deal.
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June 12, 2025
'Forum Shopping' Center Stage At 6th Circ. Drug Pricing Args
As part of an expansive effort to tee up U.S. Supreme Court review, pharmaceutical industry-backed opponents of Medicare's drug price negotiations entered less-than-hospitable territory at the Sixth Circuit, where judges pointedly questioned a local business group's basis for challenging a national healthcare program.
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June 12, 2025
Humana, Aetna Underpaid For 340B Drugs, New Suits Say
Humana and Aetna are facing new claims in a trio of suits filed in North Carolina federal court alleging they underpaid health systems for drugs purchased through the federal 340B drug discount program.
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June 12, 2025
11th Circ. Won't Revive Nurses' African Bias, Retaliation Suit
The Eleventh Circuit on Thursday backed an Atlanta hospital's defeat of a lawsuit claiming it disciplined and fired two nurses who complained that a supervisor made derogatory comments about African employees, saying neither woman could overcome evidence of their misconduct.
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June 12, 2025
Fla. Death Damages Row Signals Insurers' Tort Reform Focus
Florida Gov. Ron DeSantis' veto of a bill that would have repealed limits on noneconomic damages in fatal medical malpractice cases — despite state lawmakers' overwhelming support of the measure — signals broad concerns over how tort reform legislation could impact the insurance industry.
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June 11, 2025
Seattle Hospital Hit With Class Suit Over 'Diverted' Pain Meds
A Seattle-based hospital system has been slapped with a proposed class action in Washington state court over claims that hundreds of patients suffered unwarranted pain and risk of infection because a staff member may have been pocketing painkillers.
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June 11, 2025
RFK Jr. Picks Vaccine Critics As Part Of CDC Panel Overhaul
Robert F. Kennedy Jr., secretary of the U.S. Department of Health and Human Services, announced Wednesday he appointed eight new members to a vaccine advisory panel, just two days after he removed 17 existing members of the panel, which provides advice and guidance on the use of vaccines to the Centers for Disease Control and Prevention.
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June 11, 2025
UNC Hospital System Must Face Ex-Resident's Bias Suit
The University of North Carolina's hospital system must face a discrimination lawsuit filed by a fired surgical resident, a North Carolina federal judge ruled Wednesday, tossing the system's motion to dismiss claims that the discharge decision was motivated by bias against the resident's mental health conditions.
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June 11, 2025
Children's Healthcare Nonprofit Settles Retirement Fee Suit
A Florida-based nonprofit children's healthcare network and ex-workers who alleged their employee retirement savings were dragged down by excessive fees told a Florida federal court Wednesday they'd worked out a class action settlement of the dispute after mediation.
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June 11, 2025
Ga. Hospice Provider Pays $9.2M To End Kickback Case
A Georgia hospice care provider and its CEO forked over $9.2 million to settle claims that they violated federal fraud laws by participating in a kickback scheme with medical directors who referred hospice patients to the group, prosecutors announced Wedesnday.
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June 11, 2025
Aetna Resolves Lipedema Patients' Coverage Class Action
Aetna has agreed to end a class action alleging it unlawfully refused to cover liposuction as a treatment for over two dozen patients afflicted with a rare chronic condition called lipedema, according to a Wednesday filing in California federal court.
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June 11, 2025
Cigna Accused Of Misusing $17M In 401(k) Forfeitures
Retirement plan participants and beneficiaries at Cigna say the company violated the Employee Retirement Income Security Act by using up to $17 million given up by participants who quit early to reduce the company's matching contributions, rather than using it to pay for the plan's administrative costs.
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June 11, 2025
Conn. Orthopedic Practice Faces Data Breach Class Claims
A March 2 data breach at a Connecticut orthopedic practice exposed the personal information and health data of an unknown number of patients to online hackers, a patient alleged in a proposed class action.
Expert Analysis
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FTC Focus: What Access To Patent Settlements Would Mean
Settling parties should adopt a series of practice tips, including specifying rationales to support specific terms, as the Federal Trade Commission seeks to expand its access to settlements before the Patent Trial and Appeal Board, say Shannon McGowan and David Munkittrick at Proskauer.
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Agencies Should Reward Corporate Cyber Victim Cooperation
The increased regulatory scrutiny on corporate victims of cyberattacks — exemplified by the U.S. Securities and Exchange Commission's case against SolarWinds — should be replaced with a new model that provides adequate incentives for companies to come forward proactively and collaborate with law enforcement, say attorneys at McDermott.
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Strategies To Defend Against Healthcare Nuclear Verdicts
The healthcare industry is increasingly the target of megaclaims, particularly those alleging medical malpractice, but attorneys representing providers can use a few tools to push back on flimsy litigation and reduce the likelihood of a nuclear verdict, says LaMar Jost at Wheeler Trigg.
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What Drug Cos. Must Know About NY Price Transparency Law
Drug manufacturers must understand the contours of New York's recently implemented law requiring self-reporting of drug price increases, as well as best practices for compliance and challenges against similar laws in other states, say Elizabeth Bierut and Angie Garcia at Friedman Kaplan.
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Whistleblowers Must Note 5 Key Differences Of DOJ Program
The U.S. Department of Justice’s recently unveiled whistleblower awards program diverges in key ways from similar programs at other agencies, and individuals must weigh these differences and look first to programs with stronger, proven protections before blowing the whistle, say Stephen Kohn and Geoff Schweller at Kohn Kohn.
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The Licensure Landscape For Psychedelics Manufacturers
As the need for bulk manufacturing of psychedelic substances grows, organizations aiming to support clinical trials or become commercial suppliers must navigate a rigorous and multifaceted journey to obtaining a license from the U.S. Drug Enforcement Administration, say Kimberly Chew at Husch Blackwell and Jaime Dwight at Promega Corp.
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OSHA Workplace Violence Citation Highlights Mitigation Steps
The Occupational Safety and Health Administration's recent citation against behavioral health company Circles of Care sheds light on the enforcement risks companies may face for failing to prevent workplace violence, and is a reminder of the concrete steps that can help improve workplace safety, say attorneys at Benesch.
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When Banks Unknowingly Become HIPAA Biz Associates
There appears to be significant confusion regarding the application of the Health Insurance Portability and Accountability Act to financial institutions when serving healthcare-related clients, so these institutions should consider undertaking several steps as a starting point in the effort to achieve compliance, say attorneys at Vorys.
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The Regulatory Headwinds Facing Lab-Developed Tests
Though the U.S. Food and Drug Administration's final rule regarding regulation of laboratory-developed tests outlines a four-year plan for ending enforcement discretion, and though this rule is currently being challenged in courts, manufacturers should heed compliance opportunities immediately as enforcement actions are already on the horizon, say attorneys at Kirkland & Ellis.
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3 High Court Rulings May Shape Health Org. Litigation Tactics
Three separate decisions from the U.S. Supreme Court's most recent term — Loper Bright, Corner Post and Jarkesy — will likely strengthen healthcare organizations' ability to affirmatively sue executive agencies to challenge regulations governing operations and enforcement actions, say attorneys at McDermott.
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A New Way Forward For COVID Vaccine Lawsuit Immunity
As Public Readiness and Emergency Preparedness Act protections for COVID-19 vaccines wane, adding those vaccines to coverage by the National Vaccine Injury Compensation Program would bolster defenses for administrators and manufacturers while also providing stronger remedies for those injured by vaccines, says Altom Maglio at MCT Law.
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Why DOJ's Whistleblower Program May Have Limited Impact
The U.S. Department of Justice’s new whistleblower pilot program aims to incentivize individuals to report corporate misconduct, but the program's effectiveness may be undercut by its differences from other federal agencies’ whistleblower programs and its interplay with other DOJ policies, say attorneys at Milbank.
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How Cos. With Chinese Suppliers Should Prep For Biotech Bill
A proposed bill to prohibit government-affiliated life sciences companies from contracting with Chinese biotech companies of concern may necessitate switching to other sources for research and supplies, meaning they should begin evaluating supply chains now due to the long lead times of drug development, say John O'Loughlin and Christina Carone at Weil Gotshal.