Walgreens seeks $140 million in civil lawsuit against Theranos
Walgreens filed a $140 million civil lawsuit against Theranos and alleged the blood testing company breached a contract, the Wall Street Journal reports.
Although the lawsuit was sealed in a Delaware court, the newspaper reported that Walgreens claims it was misled about Theranos’s technology when the companies formed a partnership.
Walgreens invested $140 million into Theranos in 2013. Earlier this year, Theranos terminated the relationship and closed operations at all Theranos Wellness Centers in Walgreens’ stores.
In July, the Centers for Medicare & Medicaid Services (CMS) revoked the certification for Theranos’s blood testing laboratory in Newark, California and prohibited CEO Elizabeth Holmes from owning, operating or directing a laboratory for at least two years.
Although Theranos plans on appealing the CMS sanctions, Holmes announced in October that the company would close laboratories and wellness centers in Arizona, California and Pennsylvania and lay off more than 40 percent of its employees.
Read the full Wall Street Journal article below:
Executive Editor
Tim Casey joined TriMed Media Group in 2015 as Executive Editor. For the previous four years, he worked as an editor and writer for HMP Communications, primarily focused on covering managed care issues and reporting from medical and health care conferences. He was also a staff reporter at the Sacramento Bee for more than four years covering professional, college and high school sports. He earned his undergraduate degree in psychology from the University of Notre Dame and his MBA degree from Georgetown University.