Unlocking Legalities: Overseas Practices, Park Doctrine Could Drive More Fraud Cases

The US Department of Justice recently announced the largest-ever civil settlement in a device-related False Claims Act case. But otherwise it was a textbook FCA case, attorneys say, and many device companies still have a lot of work to do to ensure compliance and that their executives stay out of trouble. This is the first article in an occasional series in which Medtech Insight talks to attorneys to get the best takes on hot legal topics.

MT1701_Investigation_1200x675

The US Department of Justice’s recent announcement of a $350m settlement by Shire PLC resolving allegations that the company illegally enticed physicians to prescribe the company’s Dermagraft artificial skin product brought fresh attention to the ongoing issue of False Claims Act enforcement. The settlement, DOJ said, was the largest ever paid in a device enforcement action. (Also see "Shire To Pay Record-Setting Device FCA Settlement" - Medtech Insight, 12 January, 2017.)

However, attorneys urged caution in making too much of the settlement. While $350m is a large amount for a device...

Read the full article – start your free trial today!

Join thousands of industry professionals who rely on Medtech Insight for daily insights

  • Start your 7-day free trial
  • Explore trusted news, analysis, and insights
  • Access comprehensive global coverage
  • Enjoy instant access – no credit card required

More from Business

German Health Researchers Prep for Possible Disruptions to PubMed, ClinicalTrials.gov

IQWiG, Germany’s health technology assessment body, is making contingency plans in case key US resources it relies on for information retrieval, when conducting benefit assessments of new medicines, become unavailable.

Alcon Drops Revenue Projections After Soft Q2 Sales

 
• By 

The vision company expects total annual revenues of $10.3bn-$10.4bn, marking a slower growth rate than earlier forecasts. However, management remains optimistic that overall trends, as well as recent purchases like STAAR and LumiThera, represent a significant market opportunity.

Hip Resurfacing For Women: Embody Orthopaedic Awarded CE Mark For H1 Implant

 

The ceramic device, designed to reduce complications, will be exclusively distributed by Zimmer Biomet and initially available in 30 hospitals, with broader European access expected by 2026.

Medtronic Posts Solid First-Quarter, Adds Board Members As Elliott Takes Stake

 
• By 

Medtronic beat first-quarter revenue and EPS estimates, raised guidance, and added two board members and special committees as Elliott takes a stake.

More from Medtech Insight

Medtronic Posts Solid First-Quarter, Adds Board Members As Elliott Takes Stake

 
• By 

Medtronic beat first-quarter revenue and EPS estimates, raised guidance, and added two board members and special committees as Elliott takes a stake.

Israel Medtech Leader Considers Country’s ‘Early Lab Of The World’ Status

 
• By 

Entrepreneurialism is in the blood of Israel’s medtech innovators, but in a changing medtech world, the local ecosystem must address funding gaps and manufacturing and infrastructure needs. So says Ruti Alon, experienced Israeli medtech leader, investor and co-chair of the Biomed Israel conference.

Even ‘Small’ Leaks After Left Atrial Appendage Occlusion Raises Stroke Risk, Study Finds

 

A Japanese study of Watchman LAA closure devices found that leaks of any size after implantation raise the risk of stroke. The study comes shortly after the US FDA issued an early alert for the Watchman access systems.