$37M Award For Whistleblowers Nixed In Medicaid Fraud Row

By Gianna Ferrarin

A Texas state appeals court did away with an order awarding three whistleblowers a $37 million share of the state's settlement resolving Medicaid fraud allegations against Xerox, finding their respective cases over the alleged scheme were based on publicly available information.

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ERISA Trumps Tennessee PBM Laws, 6th Circ. Says

By Patrick Hoff

The Sixth Circuit backed a trial court's conclusion that Tennessee laws regulating pharmacy benefit managers conflict with the Employee Retirement Income Security Act, ruling the state law's requirement that "any willing provider" be accepted to PBMs' networks impermissibly dictates how the plans are designed.

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AbbVie Says 340B Program Defines 'Patient' Too Broadly

By Mark Payne

Federally funded healthcare providers in the 340B Drug Pricing Program are using an "overly broad" interpretation of the word "patient" based on government guidelines, and it's leading to them abusing 340B discounts, AbbVie claimed in a lawsuit filed against two federal health agencies Wednesday.

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Fla. Insurer, Ex-Parent To Pay $135M Over ACA Fraud Scheme

By Gina Kim

A Florida insurer and its former parent, which is a Delaware-based national partnership of insurance brokers, have agreed to pay $135 million collectively to resolve allegations of a scheme to enroll ineligible consumers into subsidized Affordable Care Act plans and of defrauding the federal government of more than $140 million. 

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Pa. Panel Splits Bellwether Pediatrician Sex Abuse Trial

By Mike Curley

A Pennsylvania appeals court has reversed an order consolidating four civil cases against a hospital and pediatrics association related to sexual abuse allegations against a now-incarcerated doctor, saying putting the four cases together in one trial would prejudice the defendants and likely confuse the jury.

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Ed. Dept. Says It's Not Required To Fund $1B In Youth Grants

By Ben Adlin

The U.S. Department of Education denied accusations by 16 U.S. states that it is flouting a court order to restore nearly $1 billion in K–12 mental health grants, arguing in a Western District of Washington filing that the order required officials to re-review the grants, not actually provide full funding.

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FedEx Says NY Attys And Medical Providers Staged Crashes

By Hope Patti

FedEx accused a network of lawyers, medical providers and clinics of orchestrating an insurance scam in which they staged motor vehicle accidents in order to defraud the delivery giant through sham lawsuits and inflated medical bills, according to a suit filed in New York federal court.

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Lost Data Should Get Co. Punished In EEOC Suit, Judge Says

By Patrick Hoff

A Georgia federal judge recommended sanctions against a cosmetic surgery provider for neglecting to keep sales data and messages, saying the information could've been relevant in a disability bias suit the U.S. Equal Employment Opportunity Commission brought on a former worker's behalf.

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No Surprises Act Bars Provider's Award Enforcement Bid

By Gianna Ferrarin

A Pennsylvania federal court declined to force an insurer to pay over $300,000 in alleged outstanding payments from an out-of-network billing dispute with a provider, finding it lacked authority to do so under the No Surprises Act.

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Biz Judge Keeps Doc Class Action Against Luxottica, For Now

By José Luis Martínez

A Texas Business Court judge Wednesday kept alive, on procedural grounds, a proposed class action made up of Texas optometrists who say that their office space deals with eye care giant Luxottica of America Inc. didn't follow Texas law.

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States Seek Time For Talks To Settle Drug Price-Fixing Suit

By Brian Steele

The states suing generic-drug manufacturers in one of three sprawling antitrust cases want a Connecticut federal judge to pause all deadlines for three months so they can focus on settling with the remaining defendants, according to a joint filing.

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Abbott Urges Ill. Jury To Reject Claims Formula Led To NEC

By Celeste Bott

Counsel for Abbott Laboratories told an Illinois jury Wednesday that four infants, whose mothers allege the company's preterm baby formula caused their serious intestinal illness, would have developed the disease "even without a drop of formula" given other risk factors and that the absence of other feeding options at the time of the babies' births dooms their parents' claims.

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Roundup

ERISA Recap: 6 Noteworthy Decisions From March

By Kellie Mejdrich

JPMorgan Chase & Co. narrowed but couldn't escape a suit from workers who said their health plan paid too much for prescription drugs, Genworth Financial Inc. unwound a class at the Fourth Circuit, and the Sixth Circuit breathed new life into proposed class actions against FedEx and Kellogg. Here, Law360 looks at these and three other notable decisions from March in ERISA cases.

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Va. Hospital Patient Seeks Final Nod For $3.1M Privacy Deal

By Allison Grande

An Inova Health Care Services patient is urging a Virginia federal judge to grant final approval to a $3.1 million deal to resolve claims the healthcare system unlawfully shared private health information with Meta and Google through online tracking tools, arguing the resolution has received "overwhelming support" from the settlement class.

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3M Settles Ex-Worker's COVID Vax Firing Suit

By Chart Riggall

A former 3M Co. employee who claimed the company's COVID-19 vaccination mandate policy was "unnecessary" and "draconian" has settled his more than 3-year-old suit over his firing, according to a court filing.

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Brief

Whistleblower, Healthcare Operator End Retaliation Suit

By Benjamin Morse

A nursing home administrator who participated in a U.S. Department of Housing and Urban Development whistleblower investigation into alleged false payment claims and a healthcare facility operator agreed to end a lawsuit over his firing, according to a stipulation filed in Colorado federal court Wednesday.

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Brief

HIV, AIDS Patients End Disability Bias Suit With CVS

By Grace Elletson

CVS Pharmacy Inc. and a group of HIV and AIDS patients have agreed to wrap up a suit claiming the company made it harder for them to get their medication in violation of disability discrimination law, according to a California federal court filing.

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Biopharma-Focused Jeito Wraps 2nd Fund With $1.2B In Tow

By Jade Martinez-Pogue

Biopharmaceutical-focused private equity shop Jeito Capital on Wednesday announced that it closed its second fund above target after raising more than €1 billion ($1.2 billion) from investors.

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Faegre Drinker Hires 2 Venable FDA Partners In DC

By Jack Rodgers

Faegre Drinker Biddle & Reath LLP has hired two attorneys from Venable LLP who joined that firm in 2023 and focus their practices on helping clients understand U.S. Food and Drug Administration regulatory frameworks, the firm announced Wednesday.

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Telehealth Suit May Redraw Rules For Physician Classification

A new class action in California federal court, Cioppettini v. Mochi Medical, alleging a telehealth company misclassified providers as independent contractors, suggests that traditional markers of physician independence may not apply to telehealth, say attorneys at Reed Smith.

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FDA Guidance May Move Goalposts For Form 483 Responses

New draft guidance from the U.S. Food and Drug Administration provides formal insight on how drug manufacturers are expected to respond to Form 483s, raising some concerns about the agency's timelines and expectations, say attorneys at Cooley.

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2 Strands Of Patent Law In High Court's 'Skinny Label' Case

Amarin v. Hikma, which is set for oral argument in the U.S. Supreme Court this month, highlights the distinction between two different strands of intellectual property law — analogizing a patent to either a property deed or a home, says Jonas McDavit at Spencer West.

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DLA Piper Offered Pregnant Atty 'Dignified' Exit, Jury Told

By Pete Brush

A former DLA Piper associate who claims she was unlawfully fired after announcing her pregnancy was offered a chance to transition out of the firm "without anyone knowing that her work was subpar," a partner told a Manhattan federal jury Wednesday.

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Spencer Fane Adds 75 Attys Through Tie-Up With Okla. Firm

By Tracey Read

Missouri-headquartered Spencer Fane LLP announced Wednesday that it plans to combine with Southwest firm Conner & Winters LLP on July 1 in its largest tie-up to date and its third already in 2026.

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AEG, BigLaw Atty In Hot Seat As Live Nation Trial Nears End

By Stewart Bishop

Live Nation on Wednesday concluded its defense case with glowing testimony about it from the manager for rap star Drake, while the Manhattan federal judge overseeing the case said rival company AEG Worldwide and a Hogan Lovells lawyer may face sanctions for revealing confidential information about a witness.

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DOJ's Lead Google Attys Both Leave Agency Same Day

By Bryan Koenig

The lead attorneys on both of the U.S. Department of Justice Antitrust Division's monopolization cases against Google left the agency Wednesday or said they would be doing so.

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Mich. Federal Judge Pleads No Contest In Drunk-Driving Case

By Gina Kim

A Michigan federal judge pled no contest Wednesday to a misdemeanor drunken-driving charge in Emmet County court in connection with an incident where he crashed his Cadillac and registered a 0.27% blood alcohol level, apologizing and saying he "looks forward" to continuing his judicial service.

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ABA, State Bars Blast DOJ Proposal To Block Bar Probes

By Emily Sawicki

The American Bar Association and a chorus of state and local bar groups have come out against a proposed rule that would allow the U.S. Department of Justice to pause and review state-level ethics complaints against its attorneys, calling the proposal "unlawful and unconstitutional."

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ABA Rates Montana Judicial Pick 'Not Qualified'

By Courtney Bublé

Katie Lane, senior legal counsel at the Republican National Committee who has been tapped for a federal judgeship in Montana, is the first nominee to receive a majority "not qualified" rating by the American Bar Association in the second Trump administration.

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NY Panel Backs DLA Piper's $482K Fee Win In Malpractice Suit

By Dorothy Atkins

A New York appellate court affirmed Tuesday the dismissal of a Chinese software company's legal malpractice suit against DLA Piper, along with a $482,000 sanctions order against the company and its counsel, noting that the company's frivolous claims also drew a $635,000 sanctions ruling in "mirror" federal court litigation.

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Bondi To Skip Epstein Deposition After DOJ Cites AG Exit

By Courtney Bublé

Former Attorney General Pam Bondi will not sit for her scheduled deposition next week on the Epstein files now that she has left the role, and the Justice Department has asked the House Oversight Committee to withdraw its subpoena.

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Trump Asks NY's Top Court To Toss AG's 'Flawed' Fraud Case

By Lauren Berg

President Donald Trump on Wednesday asked New York's highest court to throw out New York Attorney General Letitia James' "deeply flawed" civil fraud judgment entirely after a lower appellate court tossed what it called an "excessive" $489 million penalty against the president, his sons and his real estate companies.

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