Insurance giant CVS Health sued the Trump administration in Georgia federal court Monday, alleging that federal quality ratings for its Medicare Advantage contracts were calculated using methods a judge rejected last year and will cost the company more than $2 billion in bonus payments and rebates in 2028.
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WEDNESDAY, OCTOBER 28, 2026 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

CVS Says Faulty Medicare Advantage Ratings Will Cost It $2B

By Craig Clough

Insurance giant CVS Health sued the Trump administration in Georgia federal court Monday, alleging that federal quality ratings for its Medicare Advantage contracts were calculated using methods a judge rejected last year and will cost the company more than $2 billion in bonus payments and rebates in 2028.

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Mass. Hospitals Sue Lilly Over 340B Discount Data 'Extortion'

By Lauren Berg

A group of Massachusetts hospitals claim drugmaker Eli Lilly & Co. unlawfully holds hostage medication discounts meant to benefit low-income patients by demanding that hospitals hand over sensitive patient claims data or pay "exorbitant" inflated prices, according to a lawsuit filed Tuesday in Boston federal court.

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Deal In NFL 'Race-Norming' Benefits Suit Gets Final OK

By Grace Elletson

A Maryland federal judge gave the final green light Tuesday on a settlement that says an NFL disability benefits plan will reassess former players' cognitive health to resolve claims that it discriminated against nonwhite players by adjusting them to a lower cognitive baseline.

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Healthcare In Court

Courts Take On Lilly GLP-1 Ads, J&J Mesothelioma Trial, More

By Gianna Ferrarin

Law360 Healthcare Authority looks at a Novo Nordisk loss in its challenge to Eli Lilly's GLP-1 advertising, an Ohio verdict in wrongful death litigation over Johnson & Johnson's talc baby powder and other legal news from the past week.

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LITIGATION

OpenAI Sued Over Epilepsy Death Allegedly Tied To ChatGPT

By Emily Field

​The parents of a Chinese national with epilepsy who died earlier this year sued OpenAI on Tuesday in California state court, alleging ChatGPT was effectively practicing medicine without a license when it designed a tapering schedule for the anti-seizure medication that was keeping their daughter alive.

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​​​​​​​Drugmakers Seek To Bar 'Big Pharma' Label In Price-Fix Trial

By Mark Payne

A group of generic-drug makers facing price-fixing claims brought by dozens of state attorneys general asked a Connecticut federal judge to bar or limit the use of terms like "Big Pharma" or "rising costs of pharmaceuticals and healthcare" in next year's trial.

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NC Health Plan, Atrium Settle Spat Over Cost-Sharing Program

By Hayley Fowler

The North Carolina state health plan said on Tuesday that it will add Atrium Health to its list of in-network providers next year after a public showdown over the nonprofit health system's exclusion from the plan's new preferred provider program.

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Milliman Reaches $15.5M Deal In Life Insurance FCRA Suit

By Ben Adlin

Risk management firm Milliman Inc. is set to pay $15.5 million to resolve a consumer class action accusing the company of peddling flawed information to life insurance companies, according to a proposed settlement that the plaintiffs filed for preliminary court approval in Washington federal court on Monday.

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Ga. Children's Hospital System Hit With Time-Shaving Suit

By Benjamin Morse

A major Georgia pediatric healthcare system rounded clock-in and clock-out times to exclude work performed before and after scheduled shifts, according to a proposed class and collective action filed in Georgia federal court.

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Feds Settle Suit Over Botched Atlanta VA Hysterectomy

By David Aaro

The federal government reached a deal to end a suit from a patient who claimed a doctor botched her hysterectomy at a Department of Veterans Affairs medical facility in metro Atlanta, according to a Tuesday filing in Georgia federal court.

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BANKRUPTCY

Judge OKs Omnicare Asset Sale, Ch. 11 Loan Changes

By Yun Park

A Texas bankruptcy judge Tuesday authorized pharmacy services provider Omnicare LLC to tweak its asset purchase agreement and transition services agreement and approved a third amendment to its $110 million debtor-in-possession financing agreement, finding the changes would not materially harm any party.

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EXPERT ANALYSIS

DOJ Directive Gives Contractors A Fraud Risk Road Map

For government contractors, the 10 factors described in the U.S. Department of Justice's recent corporate fraud enforcement directive function as a de facto scoring rubric for internal audits that mirrors what prosecutors will prioritize, say attorneys at Spencer Fane.

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LEGAL INDUSTRY

At 4th Circ., DOJ Admits But Downplays Goldstein Trial Errors

By Jeff Overley

The U.S. Department of Justice late Tuesday acknowledged that it confused key statutory terms related to jury instructions at famed appellate advocate Tom Goldstein's criminal trial, while also insisting "the government's mistake here was understandable" and shouldn't upend a jury's guilty verdict.

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Brief

Fenwick & West To Match $235K Salary Scale For Associates

By Tracey Read

Fenwick & West LLP is reportedly the latest firm that will raise associate pay in the new year.

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Ex-Fla. Bar Prez Accused Of Botching $350M Estate Claim

By Carolina Bolado

The widow of a Miami real estate investor is suing a former president of the Florida Bar for malpractice, claiming his botched representation left her without a claim to her late husband's $350 million estate.

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Analysis

3 Federal Circuit Clashes To Watch In November

By Ryan Davis

A high-stakes case that will determine whether the U.S. government should face patent infringement claims over Moderna's COVID-19 vaccines and Labcorp's appeal of a nine-figure patent verdict against it are among the arguments the Federal Circuit will hear in November.

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4th Circ. Says W.Va. Daniel's Law Is Unconstitutional

By Rose Krebs

The Fourth Circuit on Tuesday affirmed a district court determination striking down as unconstitutional West Virginia's law restricting the publication of the home addresses and phone numbers of law enforcement and judicial officials, saying the district court applied "well-established" First Amendment principles.

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COMPANIES IN TODAY'S NEWS

Above the Law

Advocate Health

Allergan PLC

Amazon.com Inc.

Arbutus Biopharma Corp.

Atrium Health

Aurobindo Pharma Ltd.

Avon Products Inc.

Bausch Health Cos. Inc.

Brigham & Women's Hospital

CVS Health Corp.

Children's Healthcare of Atlanta Inc.

Coty Inc.

Eli Lilly & Co.

Fort Point Capital

Fougera Pharmaceuticals Inc.

Gelman, Rosenberg & Freedman

Gilead Sciences Inc.

Glenmark Pharmaceuticals Ltd.

Global Logistic Properties Ltd.

Johnson & Johnson

Labcorp Holdings Inc.

Lannett Company, Inc

LexisNexis Legal & Professional

LexisNexis Risk Solutions Inc.

Mallinckrodt PLC

Mass General Brigham Inc.

Massachusetts General Hospital

Medytox Inc.

Milliman Inc.

Moderna Inc.

Novo Nordisk A S

Omnicare Inc.

OpenAI OpCo LLC

Paypal Holdings Inc.

Perrigo Co. PLC

RELX PLC

Sandoz International GmbH

Securities Service Network Inc.

Teva Pharmaceutical Industries Ltd.

The Florida Bar

Thomson Reuters Corp.

Thryv Inc.

UMass Memorial Health

Venmo LLC

Viatris Inc.

Whitepages Consumer Inc.

LAW FIRMS IN TODAY'S NEWS

Baker & Hostetler

Baker Botts

Balch & Bingham

Ballard Spahr

Beasley Allen

Bryan Cave Leighton Paisner

Bullock Law Firm PC

Bursor & Fisher

Choate Hall

Cooley LLP

Crowell & Moring

Fenwick & West

Flaherty Sensabaugh

Francis Mailman

Groom Law Group

Harris Beach Murtha

Haynes Boone

Hogan Lovells

Javerbaum Wurgaft

Jenner & Block

Latham & Watkins

Lewis Brisbois

Milbank LLP

Morgan Lewis

Nace Law Group

Nelson Mullins

Nixon Peabody

O'Toole & O'Toole

Robinson Bradshaw

Ropes & Gray

Sanchez-Medina Gonzalez

Schenk Law Firm LLP

Shuman McCuskey

Sinclair Law Firm

Social Media Victims Law Center

Spencer Fane

Spilman Thomas

Terrell Marshall

Wiggin & Dana

Williams Kastner

GOVERNMENT AGENCIES IN TODAY'S NEWS

Centers for Medicare & Medicaid Services

Defense Contract Audit Agency

Defense Contract Management Agency

Health Resources and Services Administration

Internal Revenue Service

International Trade Commission

National Aeronautics and Space Administration

National Institute of Standards and Technology

Texas Attorney General's Office

U.S. Court of Appeals for the Fourth Circuit

U.S. Department of Defense

U.S. Department of Health and Human Services

U.S. Department of Justice

U.S. District Court for the District of Connecticut

U.S. District Court for the District of Maryland

U.S. District Court for the District of Massachusetts

U.S. District Court for the District of New Jersey

U.S. District Court for the Eastern District of Pennsylvania

U.S. District Court for the Northern District of Georgia

U.S. District Court for the Northern District of Texas

U.S. District Court for the Western District of Texas

U.S. District Court for the Western District of Washington

U.S. Supreme Court

United States District Court for the Southern District of Georgia