Medical Device Company Secures Dismissal With Prejudice in Stock Drop Case

Secured a dismissal on behalf of a medical device company in defense of a purported class action. Our client was initially served with a subpoena by the DOJ and Department of Health and Human Services related to Medicare reimbursement codes for the its products. The company subsequently issued a press release relating to the subpoena and the company’s stock dropped by 40 percent. A shareholder class action was then filed. Although we were able to secure a dismissal of the matter with prejudice, the plaintiffs filed a motion for reconsideration, and the court allowed them to re-file. The plaintiffs ultimately re-filed, but we were successful in securing another dismissal with prejudice.