South Carolina Personal Injury Law Blog

Drug Companies to Pay for Overcharging

A federal district court judge in Boston, MA found three drug makers liable last week for overcharging Medicare, pension funds, insurers, and patients for certain drugs.  In a nationwide class action lawsuit, plaintiffs alleged that AstraZeneca, Bristol-Myers Squibb, Johnson & Johnson, and Schering-Plough sold drugs to doctors at discounted prices while encouraging them to claim full reimbursement from insurers.  The judge dismissed claims against Johnson & Johnson.  A calculation of damages to be paid by the defendants is expected by August. 

Source:  "AstraZeneca, Bristol Overcharged on Drugs, Judge Says" by Cary O’Reilly, published at Bloomberg.com.

SEC to Back Plaintiffs in Enron Case

The Securities Exchange Commission will support investors who hope to hold banks liable for allegedly facilitating fraud by Enron against its shareholders. The SEC support is expected to bolster the shareholders’ upcoming Supreme Court case. The decision marks a victory for plaintiff attorneys after intense lobbying over the issue. 

Source:  "SEC to Side With Enron Plaintiffs" by Carrie Johnson, published in The Washington Post.

Retiree Class Action Suit Against Caterpillar Continues

A U.S. District Court judge ruled last week that a class action lawsuit filed by retirees or their surviving spouses can proceed against heavy equipment manufacturer Caterpillar. In the lawsuit, plaintiffs allege that the company agreed to provide free lifetime health benefits but has since charged a portion of the premiums to the plaintiffs. Caterpillar had filed for dismissal of the case on jurisdictional and procedural grounds.

Source:  "Retirees' Suit Against Caterpillar Can Proceed" published at Reuters.

Microsoft Settles Consumer Lawsuit For Overcharged Software

Iowa consumers, who claim they were overcharged for software since 1994, will receive a $180 million settlement from Microsoft in the form of cash and vouchers. According to the class-action suit, the company used its position to overcharge for operating systems and applications software. The settlement is the largest for Microsoft in similar cases.

Source:  "Microsoft to Pay Iowa Consumers $180m" by Bloomberg News, published in the Boston Globe.

Class Accuses Department of Education of Overcharging Borrowers

A lawsuit against the U.S. Department of Education alleges the agency overcharged millions of Americans with student loans over the past decade. Lawyers representing the class claim officials were repeatedly warned that they were breaking the law. According to the lawsuit, the problem is attributed to a computer glitch that caused more than 3 million borrowers to be billed hundreds of millions of dollars more than what they owed. 

Source:  "Lawsuit Says Education Dept. Overcharged on Student Loans" by Amit R. Paley, published in The Washington Post.

Class Action Suit Accuses TJX of Negligent Credit Security

TJX, parent company of T.J. Maxx, Marshalls, and HomeGoods, faces a class-action lawsuit alleging it was negligent in failing to maintain adequate security of customers' credit and debit card data and failing to disclose the breach for a month. The suit claims that "[b]ecause of TJX's actions, hundreds of thousands or even millions of its customers have had their personal financial information compromised, have had their privacy rights violated, have been exposed to the risk of fraud and identity theft, and have otherwise suffered damages."  It seeks credit monitoring services and money  damages incurred by affected customers.

Source:  "TJX Faces Class Action Lawsuit in Data Breach" by Jenn Abelson, published in the Boston Globe.