La. High Court Reins In State AG Medicaid Fraud Suits

Law360, New York (February 11, 2014, 5:39 PM EST) -- On Tuesday, Jan. 28, 2014, the Louisiana Supreme Court's ruling in Caldwell ex rel. State v. Janssen Pharmaceuticals Inc., reversed a trial court judgment of granting civil penalties, attorney fees and costs and expenses, and granted judgment in favor of defendants Janssen Pharmaceutica Inc.[1] and its parent company Johnson & Johnson Inc.

This decision has significant implications for lawsuits brought by Louisiana Attorney General Buddy Caldwell asserting Medicaid fraud claims against pharmaceutical companies under Louisiana's Medical Assistance Programs Integrity Law ("MAPIL"). Additionally, it could influence how similar Medicaid fraud prevention statutes are construed in other states.

Background

In recent years, state attorney...

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