Firm Secures $26 Million Judgment in Trademark Suit on Behalf of a Multinational Healthcare Company

January 5, 2023

On December 28, 2022, the firm secured an over $26 million judgment, plus an award of pre-judgment interest and attorneys’ fees, on behalf of our client, a multinational healthcare company. The defendants, a gray-market wholesaler and its two principals, were found to have unlawfully diverted versions of our client’s blood-glucose test strips sold in overseas markets, and then re-sold them to American pharmacies. The packaging and instructions for the diverted test strips were not compliant with FDA regulations and could not lawfully be sold in the United States, and were sold to American patients through a massive insurance-fraud scheme. In light of the defendants’ willfulness, the Court doubled our client’s actual damages in addition to awarding attorneys’ fees. 

The Court had previously awarded summary judgment as to liability against dozens of defendants who sold the unlawfully diverted test strips, and entered permanent injunctions against them. The $26 million damages award, against one wholesaler and its husband-and-wife owners, is the first monetary award entered by the Court after summary judgment. Trial as to damages is yet to be scheduled with regard to the remaining non-settling defendants.

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To read the full order, please click here.