Takeda Wins Bid to Dismiss Lawsuit to Recover Payments for Actos

Takeda Pharmaceuticals won dismissal of a lawsuit by Medicare recovery specialists over payments made for its diabetes drug Actos, after the U.S. District Court for the Southern District of New York said their claims were either implausible or outside of its jurisdiction.

The plaintiffs—companies assigned the right to recover payments made for Actos prescriptions—claim that Takeda marketed the drug as a superior therapy for diabetes without disclosing that it increases the risk of bladder cancer, and that their assignors—Medicare administrators—wouldn’t have put the drug on their formularies but for Takeda’s misrepresentations about its risks and benefits.

But their theory is ...