Legal News

Stories about physicians and other healthcare professionals involved in lawsuits—as either a plaintiff or a defendantor accused of breaking the law. Various legal updates or unusual stories in the news may land here.

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Breached Change Healthcare server lacked multifactor authentication, UnitedHealth CEO admits

UnitedHealth CEO Andrew Witty told the Senate Finance Committee that systems have been rebuilt “from scratch” in light of the oversight.

May 1, 2024
Former managers of a Tampa Florida-based radiology company Advanced Diagnostic Group (ADG) and its employee stock ownership plan (ESOP) retirement benefit manager GreatBanc Trust Co. will pay $19 million to settle a class action lawsuit. The suit alleges they allowed the ESOP’s value to be diverted to managers, directors and their shell companies and away from employee participants. money gavel court lawsuit legal judge judgement

Philips settles cases over faulty sleep apnea machines for $1.1B

The litigation stems from a 2023 recall of CPAP machines and ventilators that caused users to inhale pieces of foam during use. The faulty units were linked to at least 561 deaths.

April 29, 2024

AMGA condemns FTC ban on noncompetes in healthcare

The healthcare employers’ trade group said a nationwide ban on noncompete contracts will stifle investment in new technologies.

April 26, 2024
artificial intelligence malpractice

Against malpractice for using clinical AI, the best defense is a good offense

If a clinician you care about counts on AI to help make medical decisions, remind them: Tort law principles hold that doing so means risking liability should a patient sue over harm done.

April 25, 2024
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Which healthcare entities will be affected by ban on noncompetes? Look to business practices, not tax status

The new rule will give healthcare workers more options, but are non-profit hospitals exempt from the law?

April 24, 2024
Hacker

Hackers were inside Change Healthcare’s systems 9 days before attack

UnitedHealth Group confirms hackers have personal data on “a substantial proportion of people in America."

April 24, 2024
Judge bangs gavel

Mental health platform fined $7M by FTC for sharing data with advertisers

Cerebral has admitted to improperly sharing data with social media platforms for the purpose of targeted advertising. The company also made it difficult to cancel the service, costing its members millions.

April 23, 2024
Gunman kills 4, including his former doctor, in Oklahoma hospital shooting.

Healthcare worker sentenced to 10 years for abusing disabled patients

Tyler Smith and co-defendant Zachary Dinell confessed to assaulting more than a dozen patients, expressing hatred for them simply because they’re disabled.

April 22, 2024

Around the web

Half a year after President Biden officially directed federal agencies in the executive branch’s bailiwick to “seize the promise and manage the risks” of AI, the White House has posted a status report.

U.S. physicians often receive payments from medical device manufacturers and pharmaceutical companies. New research in JAMA found a connection between receiving such payments and using specific devices—should the industry be concerned? 

Five of the largest U.S. medical societies focused on cardiovascular health are one step closer to seeing their paradigm-shifting proposal become a reality.

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