Stryker accuses DePuy of raiding California sales team
June 3, 2014 by Brad Perriello
Stryker accused the DePuy Orthopaedics subsidiary of Johnson & Johnson of gutting its presence in the northern California orthopedic reconstructive surgery market with a “calculated and deliberate raiding” of its sales force there, according to a lawsuit filed last week in New Jersey.
The suit alleges that DePuy helped 5 Stryker Howmedica sales reps – Brett Sarkisian, Keegan Freeman, Michael Nordyke, Taylor Smith and Bryan Wyatt – defect and take their customers with them. Read more
Humana levels racketeering lawsuit against Medtronic over Infuse bone graft
June 2, 2014 by Brad Perriello
Health insurer Humana leveled a racketeering lawsuit against Medtronic last week, accusing the medical device company of rigging the presentation of data on its controversial Infuse bone graft product and of pushing its use in off-label procedures.
The lawsuit, citing the Racketeer Influenced & Corrupt Organizations statute known as RICO, alleges that Medtronic ran a deliberate campaign to fudge the data on Infuse to conceal adverse events and induce insurers such as Humana to cover Infuse procedures. Read more
Ex-ArthroCare execs convicted in $400M fraud case
June 3, 2014 by Brad Perriello
A federal jury yesterday convicted 2 former ArthroCare executives, finding that the pair “masterminded and executed a scheme” to defraud investors of some $400 million, prosecutors said.
Former ArthroCare CEO Michael Baker was found guilty of conspiracy to commit wire and securities fraud, wire fraud, securities fraud and false statements and remanded into custody, according to a press release. Ex-CFO Michael Gluk was found convicted of conspiracy to commit wire and securities fraud, wire fraud and securities fraud. Read more
Medtronic: Solicitor General got it wrong on preemption
June 3, 2014 by Brad Perriello
Medtronic last week told an appeals court that U.S. Solicitor general Donald Verrilli got it wrong when he interpreted federal preemption rules in medical device product liability cases, as it fights the appeal of a preempted lawsuit filed over its Infuse bone graft product.
Patricia Caplinger sued Medtronic in June 2012 after a 2010 spinal fusion procedure allegedly using Infuse in an off-label manner led to excessive bone growth in her spine, according to court documents. By the fall of 2010 her symptoms had returned and grown worse, according to the documents, including a foot drop condition “allegedly resulting from exuberant bone growth caused by the use of the Infuse device.” Read more
Spinal Kinetics reels in $34M, settles patent spat with DePuy Synthes
June 4, 2014 by Brad Perriello
Spinal Kinetics said it raised a $34 million funding round it plans to use to back a clinical trial for its M6-C cervical disc implant and inked a global settlement of its patent spat with Johnson & Johnson’s DePuy Synthes division.
The funding round was led by prior backers Scale Venture Partners, Lumira Capital, De Novo Ventures, SV Life Sciences and HLM Ventures, according to a press release. Read more
