• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Advertise
  • Subscribe

MassDevice

The Medical Device Business Journal — Medical Device News & Articles | MassDevice

  • Latest News
  • Technologies
    • Artificial Intelligence (AI)
    • Cardiovascular
    • Orthopedics
    • Neurological
    • Diabetes
    • Surgical Robotics
  • Business & Finance
    • Wall Street Beat
    • Earnings Reports
    • Funding Roundup
    • Mergers & Acquisitions
    • Initial Public Offering (IPO)
    • Legal News
    • Personnel Moves
    • Medtech 100 Stock Index
  • Regulatory & Compliance
    • Food & Drug Administration (FDA)
    • Recalls
    • 510(k)
    • Pre-Market Approval (PMA)
    • MDSAP
    • Clinical Trials
  • Special Content
    • Special Reports
    • In-Depth Coverage
    • DeviceTalks
  • Podcasts
    • MassDevice Fast Five
    • DeviceTalks Weekly
    • OEM Talks
      • AbbottTalks
      • Boston ScientificTalks
      • DeviceTalks AI
      • IntuitiveTalks
      • MedtechWOMEN Talks
      • MedtronicTalks
      • Neuro Innovation Talks
      • Ortho Innovation Talks
      • Structural Heart Talks
      • StrykerTalks
  • Resources
    • About MassDevice
    • DeviceTalks
    • Newsletter Signup
    • Leadership in Medtech
    • Manufacturers & Suppliers Search
    • MedTech100 Index
    • Videos
    • Webinars
    • Whitepapers
    • Voices
Home » Smith & Nephew escapes False Claims suit alleging gov’t hospital overcharging

Smith & Nephew escapes False Claims suit alleging gov’t hospital overcharging

August 21, 2018 By Fink Densford

Smith & Nephew

A federal judge today dismissed a whistleblower case against Smith & Nephew (NYSE:SNN) claiming the company overcharged government-run hospitals for expedited delivery of medical products despite receiving significant discounts from shipping companies UPS and FedEx.

Judge Indira Talwani for the US District Court of Massachusetts said last week that the plaintiff in the case, Cavallino Consulting, failed to produce concrete evidence of the overcharging.

“Although the complaint alleges that the fraudulent conduct has occurred ‘from at least 2008 to the present,’ […] the complaint does not identify any specific orders that a government hospital placed with defendant for equipment or supplies, a single government hospital to which any equipment or supplies were shipped, or any specific claims submitted to the government hospitals for payment under any contract,” Judge Talwani wrote, according to court documents.

The plaintiff claimed that the First Circuit court “allows some flexibility in construing the fraud allegations of FCA complaints,” but Judge Talwani said that all the cases which the plaintiff referenced “affirm that the fraud itself must be pled with particularity.”

“While [the plaintiff] is correct that each of these cases discuss ‘some flexibility in construing the fraud allegations of FCA complaints,’ all three cases ultimately found the respective complaint insufficient,” Judge Talwani wrote.

Judge Talwani allowed Smith & Nephew’s motion to dismiss, and denied the plaintiff’s request for leave to amend as the request “included no details as to what facts would be included if leave were granted.”

Late last month, shares in Smith & Nephew rose after the medical device company reported second-quarter numbers that beat expectations.

Filed Under: Legal News Tagged With: Smith & Nephew

More recent news

  • Medtronic reports first patient treated in study of multi-organ denervation for hypertension
  • Baxter turns to an automation company for its new CEO
  • Pristine Surgical appoints new CFO
  • Boston Scientific wins expanded FDA nod for Farapulse PFA
  • FDA warns on issue with J&J Abiomed pump controllers related to 3 deaths

Primary Sidebar

“md
EXPAND YOUR KNOWLEDGE AND STAY CONNECTED
Get the latest med device regulatory, business and technology news.

DeviceTalks Weekly

See More >

MEDTECH 100 Stock INDEX

Medtech 100 logo
Market Summary > Current Price
The MedTech 100 is a financial index calculated using the BIG100 companies covered in Medical Design and Outsourcing.
MDO ad

Footer

MASSDEVICE MEDICAL NETWORK

DeviceTalks
Drug Delivery Business News
Medical Design & Outsourcing
Medical Tubing + Extrusion
Drug Discovery & Development
Pharmaceutical Processing World
MedTech 100 Index
R&D World
Medical Design Sourcing

DeviceTalks Webinars, Podcasts, & Discussions

Attend our Monthly Webinars
Listen to our Weekly Podcasts
Join our DeviceTalks Tuesdays Discussion

MASSDEVICE

Subscribe to MassDevice E-Newsletter
Advertise with us
About
Contact us

Copyright © 2025 · WTWH Media LLC and its licensors. All rights reserved.
The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media.

Privacy Policy