Digital Health & Technology
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February 22, 2024
Mich. Judge OKs $52M Deal For Mayo Foundation Subscribers
A Michigan federal judge on Wednesday gave the initial approval to a $52 million deal for subscribers to the Mayo Foundation's health magazine who allege the publisher shared their private information without consent.
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February 21, 2024
Del. Suit Accuses Healthcare Data Co. Exec Of Insider Trading
A stockholder launched a derivative lawsuit late Wednesday in Delaware's Court of Chancery, alleging the founder of a behavioral healthcare data firm traded company shares using insider information and that nearly a dozen current and former directors and officers provided false and misleading disclosures about the business.
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February 21, 2024
Former Exec Convicted Of Medtronic Insider Trading Scheme
A Minneapolis man who tipped off a friend about his employer's secret negotiations on a $1.6 billion acquisition deal with medical device company Medtronic has been convicted of securities fraud and conspiring to commit insider trading, the Minnesota U.S. Attorney's Office has announced.
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February 21, 2024
3rd Circ. Kicks Data Privacy Suit Against Penn To State Court
A proposed class action alleging that the University of Pennsylvania violated the state's privacy law must head back to state court, the Third Circuit ruled Wednesday, rejecting arguments that the university health system acted as a federal officer by operating an online patient portal.
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February 20, 2024
Ala. Justices Deem Frozen Embryos Children Under State Law
The Alabama Supreme Court ruled that frozen embryos count as children in a first-of-its-kind decision bemoaned by advocates and a dissenting judge as potentially ruinous for in vitro fertilization services in the state.
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February 20, 2024
FDA Flags 'Alarming Trend' Of Bad Data In Med Device Testing
The Food and Drug Administration warned medical device manufacturers Tuesday that it has spotted an uptick in fraudulent data submitted by applicants seeking approval for new devices, an "alarming trend" the agency said could harm patients' access to vital medical equipment.
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February 20, 2024
Biology AI Startup Bioptimus Raises $35M Seed Round
Artificial intelligence startup Bioptimus has raised $35 million to build an AI foundational model focused on biology, the company announced Tuesday.
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February 20, 2024
Fed. Circ. Backs Microsoft's PTAB Win Over 3D Patents
The Patent Trial and Appeal Board properly invalidated a pair of 3D medical imaging patents challenged by Microsoft, the Federal Circuit affirmed Tuesday.
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February 15, 2024
7th Circ. Rejects Ancestry.com's Arbitration Bid In Privacy Suit
The Seventh Circuit on Thursday upheld a lower court's decision that minors suing Ancestry.com for sharing their genetic testing information can avoid arbitration, saying there was no language in the terms their parents signed designating the children as parties to the agreement.
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February 15, 2024
House Committee Blasts VA, Oracle For E-Record Failures
Lawmakers on Thursday rebuked the U.S. Department of Veterans Affairs and Oracle Corp. for inadequate fixes to electronic medical records systems that they say continue to threaten the health and safety of thousands of veterans, who are not being advised of the risk.
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February 15, 2024
Med Monitoring Claims In Philips MDL Sent Back For Review
The judge overseeing multidistrict litigation over Koninklijke Philips NV's recalled breathing machines has declined a special master's recommendation to trim claims seeking medical monitoring for some users, instead sending the case back for a deeper look at which states would allow such claims or whether they required proof of physical injury.
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February 14, 2024
Telehealth Advocates Press DEA On Prescription 'Red Flags'
Several telehealth providers, policy organizations and a technology company joined forces to urge the U.S. Drug Enforcement Administration to provide "explicit guidance" to pharmacists about filling prescriptions for controlled substances that result from telehealth visits.
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February 14, 2024
Mo. Hospital Faces Action Over Breach Of 500K Patients' Data
A Missouri hospital has been hit with a proposed class action after allegedly taking five months to notify more than 500,000 patients that their sensitive information had been compromised, according to a complaint filed in Missouri federal court.
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February 14, 2024
NYC Sues Facebook, Social Media Cos. Over Teen Addiction
New York City on Wednesday became the latest government entity to accuse social media giants such as Facebook, TikTok and YouTube of purposefully hooking youth on their platforms and driving a mental health care crisis by designing their apps to mimic gambling and tobacco industry tactics in a California state court suit.
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February 14, 2024
Software Co. Inks $4M Deal In Privacy Suit Over Breached Info
Patients suing software company Connexin Software for allegedly failing to safeguard the healthcare and personal identifiable information of more than 200,000 people compromised during a data breach, including that of children, asked a Pennsylvania federal judge on Wednesday to approve a $4 million class settlement.
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February 14, 2024
Dad Sues Hacked Chicago Children's Hospital Again
A plaintiff already suing Ann Lurie Children's Hospital over alleged negligence in managing its medical records has again targeted the Chicago hospital, claiming it didn't do enough to protect patient data from hackers who have stymied hospital operations for weeks.
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February 13, 2024
LabCorp Sued Over Sharing Sensitive Health Info With Google
The Laboratory Corporation of America shares sensitive health information and website browsing history with Google without patients' knowledge or consent, according to a proposed class action filed Tuesday in Pennsylvania federal court.
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February 13, 2024
Billing Cos. Deny Claims By Health Facility In $7M Fraud Case
Three medical billing companies are fighting a suit by a mental health treatment facility alleging their "incompetence" cost it roughly $7 million in lost revenue and damages, telling a Connecticut federal judge that the facility wrongly terminated their agreement.
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February 13, 2024
Texas Appeals Court Grants Medical Coding Co.'s Atty Fee Bid
A Texas appellate panel has ordered a diagnostics business to pay a medical coding company's attorney fees following a contract dispute between the companies, issuing a judgment Tuesday that also affirmed a trial court's decision to grant the coding company summary judgment.
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February 13, 2024
Nava Health To Go Public Via $320M SPAC Merger
Health clinic chain Nava Health is planning on going public through a merger with blank-check company 99 Acquisition Group in a $320 million deal led by two law firms, the companies announced Tuesday.
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February 13, 2024
Convicted NC Doctor Can't Get Recordings From Prosecutors
A North Carolina federal judge on Tuesday rejected a doctor's attempt to force prosecutors to turn over recorded phone calls with a telemedicine provider, finding that the requested materials weren't relevant and that she was trying to "manufacture" a way to have her fraud conviction overturned.
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February 12, 2024
GAO Says Ambiguity Protest Too Late In HHS Comms Deal
A Virginia-based communications firm lost out on a marketing contract for the U.S. Department of Health and Human Services after the U.S. Government Accountability Office ruled that it had not provided a required rate agreement in its quote.
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February 12, 2024
FDA Seeks Comment On Guidance For Clinical Trial Sponsors
The U.S. Food and Drug Administration is set to publish draft guidance on Tuesday that aims to help clinical trial sponsors determine when they need to bring in a group of data experts to review the information being collected in a clinical trial.
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February 09, 2024
Healthcare Cybersecurity Bill Puts Focus On HHS Oversight
Members of a U.S. Senate cybersecurity commission introduced a bill Friday that would require federal health officials to conduct regular evaluations of digital security systems and issue biennial reports to Congress.
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February 09, 2024
Mental Health App Says Former Exec Can't Lead Rival
Therapy app company SonderMind Inc. has filed a lawsuit in Denver state court alleging a former chief medical officer is violating a non-compete clause he signed by taking an identical role at rival company Rula Health.
Expert Analysis
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What COVID-19, Social Issues Mean For Pharma Case Juries
Recent surveys of actual and potential jurors suggest that the turbulence of this time will likely affect the attitudes of juries in pharmaceutical and life science cases in at least five different ways, say Buffy Mims and Rachel Horton at DLA Piper, and Rick Fuentes at R&D Strategic Solutions.
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Health Cos. Must Prepare For Growing Ransomware Threat
Health companies are a prime target for ransomware attacks due to their sensitive data and relative vulnerability, so they will need compliance and resilience to guard against the increasingly varied ways that hackers can attempt to extract funds, say Alaap Shah and Stuart Gerson at Epstein Becker.
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Medical Device Cases Show Increased Sunshine Act Scrutiny
Recent U.S. Department of Justice and Centers for Medicare & Medicaid Services settlements with two medical device manufacturers signal ramped-up enforcement of the Sunshine Act, highlighting a departure from a historically gentler approach, say Jaime Jones and Brenna Jenny at Sidley.
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Compliance Considerations For Pharma Co. Testing Programs
Diagnostic tests sponsored by pharmaceutical companies can provide real benefits to patients, but should be carefully structured to mitigate compliance risks related to possible fraud and patient privacy, say Eve Brunts and Alison Fethke at Ropes & Gray.
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Gov't Authorities Should Assist Ransomware Targets
As more companies make the prudent decision to pay ransoms following cyberattacks — recently demonstrated by Colonial Pipeline's decision to make a multimillion-dollar payment — governments should use these opportunities to identify and punish perpetrators, rather than simply admonishing victims, say attorneys at Clifford Chance.
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Bracing For The Next Wave Of Health Care Enforcement
Health companies should take proactive steps against a coming wave of federal enforcement, in light of massive new health funding, agencies' desire to protect COVID-19 relief funds, increased use of data analytics and a likely rise in qui tam suits, say attorneys at Foley & Lardner.
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Indoor Air Pollution Fix Will Require New Laws, New Tech
The COVID-19 pandemic, an aging population and changing workplace dynamics all foretell more exposure to indoor air pollutants, so a multidisciplinary policy approach combining technology, insurance, funding and regulation will be needed to improve indoor air quality and health, says Ann Al-Bahish at Haynes and Boone.
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How Justices' AMG Ruling Affects Privacy And Cybersecurity
The U.S. Supreme Court's recent ruling in AMG Capital Management v. Federal Trade Commission removes the regulator's ability to seek monetary damages that discouraged privacy and cybersecurity breaches, and as a result, companies should reassess their exposure in these areas, say attorneys at Orrick.
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COVID's Int'l Trade Impact Holds Health Co. Legal Implications
Pandemic-prompted changes to international trade are highlighting novel legal issues related to the health care industry's reliance on an international supply chain, the proliferation of counterfeit supplies, and risks associated with offshoring administrative support, say Brett Johnson and Claudia Stedman at Snell & Wilmer.
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Mapping The Predicate Chain For Medical Device Approval
Omar Robles at Emerging Health analyzes the potential magnitude of predicate chains created by the 510(k) pathway for medical device approval, in light of common criticism that the approval process can create chains of devices that reach the marketplace without recent clinical testing.
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Where Health Care Enforcement Is Headed Under Biden
Early actions by President Joe Biden's administration signal a robust health care enforcement environment in which federal agencies will aggressively scrutinize pandemic-related and Medicare Advantage fraud, nursing homes, and medical technology, and False Claims Act activity will likely increase, say attorneys at Alston & Bird.
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Mitigating Anti-Kickback Risks Of Health Tech Stock Warrants
While stock warrants are a practical way for the health technology industry to finance growth, companies should utilize statutory safe harbors to mitigate federal Anti-Kickback Statute compliance risks, which could arise from an improperly structured arrangement that encourages referral of business to a vendor, say Meenakshi Datta and Jon Zucker at Sidley.
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ABA Remote Work Guide Raises Bar For Atty Tech Know-How
A recent American Bar Association opinion on lawyers' ethical duties of competence and confidentiality when working remotely should be viewed as part of a larger movement by which attorneys are being exhorted to develop competence in 21st century technology, say Jennifer Goldsmith at Ironshore and Barry Temkin at Mound Cotton.