American Red Cross Hit With Antitrust Suit Over Blood Safety (1)

The American Red Cross is facing antitrust litigation over claims that its push to handle all blood platelet safety services in-house threatens to worsen a “national blood crisis” by destroying a robust industry filled with low-cost middlemen.

Verax Biomedical Inc. sued the charitable organization Tuesday, challenging its new policy of pre-treating all platelets it sells to hospitals rather than letting them choose among various ways of ensuring platelet safety. The change has allegedly drawn “a swift and passionate backlash” from an “outraged” medical community.

The lawsuit comes as blood banking groups like the Red Cross, which allegedly holds a 50% ...