Medical Providers Sued Over "Bait and Switch” – Thanks To A Whistleblower!

These days it seems that the marketing and medical devices just don't mix. Recently Bloomberg news reported that Boston Scientific., Medtronic Inc. and five other companies promoted surgical devices for unapproved use. Allegedly, said companies cheated the federal Medicare program. Thankfully, all of this came to light due to a whistleblower.

The accused companies, sought to entice physicians and hospitals to use their product for “off label services” according to the whistleblower, a former saleswoman who is only identified as Jane Doe in court documents. “Off label” means that the products are being marketed for use other than the purposes for which they were designed. Understandably, this could have serious ramifications for patients.

What causes reputable companies to take this kind of risk? First, of course is profitability. If they sell a product off label it adds to their coffers since it’s sold at a lower price. It’s obvious that, at no time, did Boston Scientific or the others give thought to the legal consequences or the future health, safety and welfare of patients! Second, large companies like these roll the dice and take a risk because they can! While that may sound cynical, it's the truth. When companies begin to use questionable marketing tactics like these, they do so knowing that they could be penalized. It is as if they plan for it! In our opinion, until one of them is hit with a debilitating settlement, nothing is going to change.

In this particular instance, it was a brave, committed whistleblower that brought the issue to the forefront. Having dealt with whistleblower cases in the past, we know that this "Jane Doe" likely spent a lot of time considering how to broach the subject. Without her taking action, these companies would still be getting away with deceptive marketing practices that could have serious consequences.

It may seem as if we are always railing against large corporations, were not! There are a lot of good companies that you never hear about who care about their employees as people and play by the rules every day. Companies like Boston scientific of the others can learn much from those who put people before profits, and safety before stockholder dividends.

For future rulings in this case stay tuned to the blog. As always, we will keep you informed of developments in this case.