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July 25, 2025
5th Circ. Backs Life Insurer's Denial Of Disability Benefits
A life insurance company did not abuse its discretion in discontinuing long-term disability benefits to a former employee of a payroll software provider after a review of updated medical records, the Fifth Circuit said, finding that substantial evidence supported the insurer's decision.
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July 25, 2025
Wellpath Creditors' Bid For Ch. 11 Plan Releases Nixed
A Texas bankruptcy judge Friday ruled that creditors who elected to give releases to non-debtor third parties under prison health care group Wellpath's Chapter 11 plan were not entitled to a release of claims that Wellpath had against them.
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July 25, 2025
Jurisdiction Issue Leads To USAID Shutdown Suit's Dismissal
A Washington, D.C., federal judge dismissed a suit Friday by a union and other groups seeking to stop the dismantling of the U.S. Agency for International Development and denied a contractor association an order blocking the same, saying their claims belong before expert agencies rather than a district court.
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July 25, 2025
Mich. Judge Says Biz Rule Doesn't Shield Ex-Medical Co. CEO
The former CEO of a Detroit-area medical services network must face claims that he ignored warnings regarding an employee who embezzled $3 million from the company, after a Michigan state judge found allegations he breached his fiduciary duties to shareholders overcome a business judgment rule that protects corporate officers.
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July 25, 2025
Mayo Clinic's $11.5M Tax Refund Affirmed By 8th Circ.
The Mayo Clinic qualifies as an "educational organization" under federal tax law, making it eligible for a tax exemption for such organizations and meriting a nearly $11.5 million refund, the Eighth Circuit said Friday, affirming a federal district court.
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July 25, 2025
Chancery Tosses UpHealth Affiliate's Suit For SPAC Damages
Pointing to "numerous defects" in the complaint, a Delaware vice chancellor on Friday tossed every count in a suit filed by investors who alleged they were misled in the run-up to a multi-business special purpose acquisition company deal to take public now-bankrupt UpHealth Holdings and Cloudbreak Health.
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July 25, 2025
Fla. Hospital System Fights Class Cert. In Antitrust Suit
A Florida hospital system is pushing to avoid certification of a class alleging it locked in patients and locked out rivals on the state's Space Coast, telling a federal judge the teachers leading the antitrust suit changed their proposed class definition and can't account for highly individualized medical billing.
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July 25, 2025
Utah Docs Say Billing Expert's Report Rife With AI Falsehoods
Utah anesthesiologists facing a False Claims Act suit are moving to bar the testimony of a medical billing expert they say used artificial intelligence to draft a report riddled with errors and fake citations, calling it an extraordinary example of AI gone wrong.
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July 25, 2025
Fed. Circ. Punts $17M Drug Arbitration Case To 2nd Circ.
The Federal Circuit said Friday it lacked jurisdiction over a dispute over a $16.6 million arbitral award between two drugmakers, ruling that because it was being asked to consider an arbitration issue and not a patent law issue, the Second Circuit must hear the case.
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July 25, 2025
Fed Bill Targets Medicaid Parity For Urban Natives Clinics
A bipartisan bill recently reintroduced in Congress aims to amend the Social Security Act to set full federal medical assistance for services provided to Medicaid beneficiaries at urban Indian health organizations.
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July 25, 2025
Nordstrom Tobacco Health Fee Violates ERISA, Ex-Staff Say
Three ex-workers for Nordstrom Inc. hit the retailer with a proposed class action in Washington federal court, alleging a $40-a-month surcharge on the health plans of tobacco-using employees was discriminatory in violation of federal benefits law.
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July 25, 2025
Hospital Giant To Pay $3.5M Over Nurse Training Repayments
HCA Healthcare Inc., a major U.S. hospital operator, has agreed to pay roughly $3.5 million to settle claims that it unlawfully trapped new nurses in agreements requiring them to repay training costs if they left their jobs within two years, according to a trio of state attorneys general.
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July 25, 2025
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen the owner of a £6 million ($8 million) mansion once rented by Adele sue real estate consultants Strutt & Parker, Romanian-Australian mining investor Vasile Frank Timis bring a claim against reputation and privacy firm Schillings, and a Chinese businessman bring a legal action against his former lawyer over an alleged £12.5 million mortgage fraud.
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July 25, 2025
Health Data Co. Investor Fraud Suit Headed To Mediation
The parties in a putative class action claiming a healthcare technology company misled investors about a data platform it claimed to operate, but which didn't actually exist, told a Connecticut federal court that they "agree this case is well suited for mediation."
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July 25, 2025
1st Circ. Backs Ex-Pharma Director's $24M Disability Bias Win
The First Circuit declined to scrap a $24 million verdict for a former lab director of a Thermo Fisher Scientific Inc. subsidiary who claimed she was fired for seeking alternative public speaking arrangements due to her anxiety, ruling the evidence presented supported the jury's verdict.
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July 25, 2025
Shoulder Innovations Primes $100M IPO Amid Medtech Surge
Venture-backed commercial-stage medical technology company Shoulder Innovations has launched plans for an estimated $100 million initial public offering, marking the latest in a string of medical technology companies making their public debuts over the past months.
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July 25, 2025
Iowa Urges 8th Circ. To Undo Block On E-Cig Law
Iowa's Department of Revenue is urging the Eighth Circuit to overturn a lower judge's ruling that blocked enforcement of a new state law that would have restricted the sale of some e-cigarettes in the Hawkeye State.
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July 24, 2025
Trump Admin Asks Justices To Stay Block On NIH Grant Cuts
The Trump administration on Thursday urged the U.S. Supreme Court to stay a district court's preliminary injunction so that the National Institutes of Health can resume terminating $783 million in grants, saying the lower court, under a recent high court ruling, lacked jurisdiction to make the government pay the grants.
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July 24, 2025
Nonprofits Secure TRO In Challenge To New HUD Grant Rules
A Rhode Island federal judge Thursday granted a temporary restraining order to a coalition of nonprofit groups challenging new conditions for U.S. Department of Housing and Urban Development grants that target diversity, equity and inclusion programs; abortion access; and transgender individuals.
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July 24, 2025
NC Judge Reins In Row Over Clinical Trial Software Contract
A 6-year-old breach of contract suit got pruned on its second trip to North Carolina's business court Wednesday, with defendant Pharmaceutical Research Associates Inc. winning partial summary judgment against former PRA employee Neil Raja and the healthcare technology company he founded, Value Health Solutions Inc.
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July 24, 2025
Hospital Must Face Claims Of Mismanaging Retirement Funds
A Colorado federal judge on Thursday said a proposed class action will continue against a hospital over allegations of mismanaging employees' retirement funds after an amended complaint added new allegations about the fund's mismanagement.
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July 24, 2025
Panel OKs Atty As Expert In 'Vanishingly Rare' Med Mal Suit
A Texas appellate court said Thursday that allegations that a hospital negligently discharged a newborn to adoptive parents can be considered a medical malpractice claim, but said a family law attorney can also serve as an expert witness in a "vanishingly rare" case where an expert needn't be a physician.
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July 24, 2025
UnitedHealth Discloses DOJ Medicare Civil, Criminal Probes
UnitedHealth Group Inc. has disclosed that it is complying with formal criminal and civil requests from the U.S. Department of Justice, following media reports about investigations into aspects of the insurance giant's participation in Medicare.
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July 24, 2025
Sun Pharma Settles Consumer Price Fixing Case For $200M
Sun Pharmaceuticals has agreed to a $200 million settlement with a class of consumers who claim that the company joined other generics makers in fixing drug prices.
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July 24, 2025
Florida Man Gets 14 Years For $78M Drug Diversion Scheme
The purported leader of a Florida-based operation that diverted $78 million in pharmaceutical drugs was sentenced to more than a decade in federal prison after pleading guilty to conspiracy-related charges in connection with illegally purchasing medications meant for HIV or cancer and reselling them as legitimately obtained products.
Expert Analysis
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Opinion
IPR Denial In IRhythm Should Not Set A Blanket Rule
Though the Patent Trial and Appeal Board's discretionary denial in iRhythm v. Welch Allyn last month raised concerns that mere knowledge of a patent could bar inter partes review institution, a closer look at the facts and reasoning reveals why this case's holdings should not be reflexively applied to all petitioners, says David McCombs at Haynes Boone.
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What High Court's Tenn. Trans Care Ruling Means Nationally
The U.S. Supreme Court's decision in U.S. v. Skrmetti, upholding a Tennessee ban on gender-affirming medical care for minors, is fairly limited in scope and closely tailored to the specific language of Tennessee's law, but it may have implications for challenges to similar laws in other states, say attorneys at Hall Render.
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Series
My Opera And Baseball Careers Make Me A Better Lawyer
Though participating in opera and the world of professional baseball often pulls me away from the office, my avocations improve my legal career by helping me perform under scrutiny, prioritize team success, and maintain joy and perspective at work, says Adam Unger at Herrick Feinstein.
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High Court ACA Ruling May Harm Preventative Care
The U.S. Supreme Court's decision in Kennedy v. Braidwood last week, ruling that the U.S. Department of Health and Human Services secretary has authority over an Affordable Care Act preventive care task force, risks harming the credibility of the task force and could open the door to politicians dictating clinical recommendations, says Michael Kolber at Manatt.
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8 Ways Lawyers Can Protect The Rule Of Law In Their Work
Whether they are concerned with judicial independence, regulatory predictability or client confidence, lawyers can take specific meaningful actions on their own when traditional structures are too slow or too compromised to respond, says Angeli Patel at the Berkeley Center of Law and Business.
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Is SEC Moving Away From Parallel Insider Trading Cases?
The U.S. Securities and Exchange Commission's apparent lack of follow-up in four recent criminal cases of insider trading brought by the Justice Department suggests the SEC may be reconsidering the expense and effort of bringing parallel civil charges for insider trading, say attorneys at Dentons.
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Rising Enforcement Stakes For Pharma Telehealth Platforms
Two pieces of legislation recently introduced in Congress could transform the structure and promotion of telehealth arrangements as legislators increasingly scrutinize direct-to-consumer advertising platforms, potentially paving the way for a new U.S. Food and Drug Administration policy with bipartisan support, say attorneys at Sheppard Mullin.
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Series
Law School's Missed Lessons: Communicating With Clients
Law school curricula often overlook client communication procedures, and those who actively teach this crucial facet of the practice can create exceptional client satisfaction and success, says Patrick Hanson at Wiggam Law.
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3 Judicial Approaches To Applying Loper Bright, 1 Year Later
In the year since the U.S. Supreme Court overturned Chevron deference in its Loper Bright Enterprises v. Raimondo decision, a few patterns have emerged in lower courts’ application of the precedent to determine whether agency actions are lawful, say attorneys at Husch Blackwell.
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Prepping For SEC's Changing Life Sciences Enforcement
By proactively addressing several risk areas, companies in the life sciences sector can position themselves to minimize potential exposure under the U.S. Securities and Exchange Commission's return to back-to-basics enforcement focused on insider trading and fraud, say attorneys at Morgan Lewis.
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Series
Adapting To Private Practice: From US Rep. To Boutique Firm
My transition from serving as a member of Congress to becoming a partner at a boutique firm has been remarkably smooth, in part because I never stopped exercising my legal muscles, maintained relationships with my former colleagues and set the right tone at the outset, says Mondaire Jones at Friedman Kaplan.
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Opinion
IRS Should Work With Industry On Microcaptive Regs
The IRS should engage with microcaptive insurance owners to develop better regulations on these arrangements or risk the emergence of common law guidance as taxpayers with legitimate programs seek relief in the federal courts, says Dustin Carlson at SRA 831(b) Admin.
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How Providers Can Brace For Drug Pricing Policy Changes
Though it's uncertain which provisions of the Trump administration's executive order aimed at addressing prescription drug costs will eventually be implemented, stakeholders can reduce potential negative outcomes by understanding pathways that could be used to effectuate the order's directives, say attorneys at McDermott.
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Discretionary Denial Rulings May Spur Calls For PTAB Reform
The U.S. Patent and Trademark Office's recent decision in iRhythm Technologies v. Welch Allyn, denying inter partes review based on the patent owner's settled expectations that the patent would not be challenged, could motivate patent holders to seek Patent Trial and Appeal Board reform to preserve patent quality without burdening owners, say attorneys at Dechert.
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Spinoff Transaction Considerations For Biotech M&A
Amid current market challenges, boards and management teams of biotech companies can consider several strategies for maximizing value should a spinoff opportunity arise, but not without significant advance planning and careful implementation, particularly in cases that might qualify as tax-free, say attorneys at Paul Hastings.