Litigation


Class Action Claims Reinstated on “Adulterated” Dietary Supplements
November 25, 2019 | Marc S. Ullman | Cannabis | FDA | Legislation and Public Policy | Litigation | Pharmaceuticals

The 11th Circuit Court of Appeals recently reversed a Florida lower court decision that dismissed class action claims under the Florida Deceptive and Unfair Trade Practices Act, the Illinois Consumer Fraud and Deceptive Business Practices Act, and the New York General Business Law alleging that the defendants defrauded the putative class by selling adulterated dietary

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Sutter Health to Pay $45 Million for Stark Law Violations
November 22, 2019 | Eric D. Fader | False Claims Act | Fraud and Abuse | Hospitals | Litigation | Medicare and Medicaid

The U.S. Department of Justice (DOJ) announced on November 15 that Sutter Health, a northern California health system, agreed to pay a total of $45.6 million to settle allegations that it violated the Stark Law in submitting claims to Medicare for services. Sacramento Cardiovascular Surgeons Medical Group Inc. (Sac Cardio), whose physicians referred patients to Sutter, also

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Another HIPAA Penalty: $1.6 Million for Breach of ePHI
November 12, 2019 | Ada Janocinska | Cybersecurity | Electronic Health Records | HIPAA | Litigation

The U.S. Department of Health and Human Services’ Office for Civil Rights (OCR) announced on November 7 that it imposed a $1.6 million monetary penalty against the Texas Health and Human Services Commission for violations of the HIPAA Privacy and Security Rules. The Commission operates several health and public need facilities and also administers many

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NY Hospital Pays $3 Million HIPAA Settlement
November 6, 2019 | Eric D. Fader | Electronic Health Records | HIPAA | Hospitals | Litigation

The U.S. Department of Health and Human Services’ Office for Civil Rights (OCR) announced on November 5 that the University of Rochester Medical Center (URMC) agreed to pay $3 million to settle violations of the HIPAA Privacy and Security Rules. URMC is one of the largest health systems in New York State, with more than

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Life Spine Settles FCA Kickback Case for $6 Million
October 31, 2019 | Eric D. Fader | Affordable Care Act | False Claims Act | Fraud and Abuse | Litigation | Medical Devices and Wearables | Medicare and Medicaid

Spinal implant manufacturer Life Spine Inc. and two of its executives have settled their False Claims Act case by agreeing last week to pay the federal government $6 million. As discussed here, the company and executives had been accused of paying kickbacks to surgeons to use the company’s products.

In addition to paying $5.5 million

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Hospital to Pay $20 Million to Settle Whistleblower Case
October 29, 2019 | Eric D. Fader | False Claims Act | Fraud and Abuse | Hospitals | Litigation | Medical Devices and Wearables | Medicare and Medicaid

The U.S. Department of Justice (DOJ) announced on October 28 that Sanford Health, a hospital in Sioux Falls, South Dakota, will pay $20.25 million to settle a whistleblower lawsuit alleging violations of the False Claims Act and federal Anti-Kickback Statute. Two surgeons at the hospital filed the suit alleging that the hospital allowed another surgeon

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Florida Hospital Fined $2.15 Million for Theft and Sale of Records
October 24, 2019 | Ada Janocinska | Electronic Health Records | HIPAA | Hospitals | Litigation

The U.S. Department of Health and Human Services’ Office for Civil Rights (OCR) announced on October 23 that Jackson Health System (JHS) in Miami has received a civil money penalty of $2,154,000 for violations of HIPAA’s Security and Breach Notification Rules. OCR Director Roger Severino said, “OCR’s investigation revealed a HIPAA compliance program that had

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Genetic Testing Fraud Trend Attracts DOJ Attention
October 8, 2019 | Eric D. Fader | Fraud and Abuse | Litigation | Medicare and Medicaid | Telehealth

The U.S. Department of Justice (DOJ) recently announced fraud charges against 35 individuals in five federal districts for defrauding Medicare of more than $2.1 billion in medically unnecessary genetic testing. The announcement of the coordinated actions, which involved dozens of telemedicine companies and genetic testing laboratories, eight physicians and two nurse practitioners, was foreshadowed by a Fraud

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Yelp Responses Lead to HIPAA Settlement
October 4, 2019 | Ada Janocinska | HIPAA | Litigation

A recent settlement between a Texas dental practice and the U.S. Department of Health and Human Services’ Office for Civil Rights (OCR) demonstrates that healthcare providers must think twice before sharing any information on social media that can be linked to a patient.

OCR investigated Elite Dental Associates of Dallas after receiving a patient complaint

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Wave of DOJ Actions Targets Healthcare Fraudsters
October 3, 2019 | Eric D. Fader | False Claims Act | Fraud and Abuse | Home Health | Litigation | Medical Devices and Wearables | Medicare and Medicaid | Pharmaceuticals | Telehealth

The U.S. Department of Justice (DOJ) kicked its healthcare fraud enforcement activities into high gear last week, unveiling charges against hundreds of individuals and companies for paying kickbacks and billing for unnecessary drugs, supplies and tests. The cases, which alleged nearly $1.5 billion in fraudulent claims to Medicare, Medicaid and private insurers, targeted specialty pharmacies,

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