iRhythm Technologies Defeats Reimbursement Rate Investor Lawsuit

iRhythm Technologies Inc. is free of accusations it misled investors about attempts to secure favorable Medicare reimbursement rates after a federal judge in California said the complaint failed to allege material misrepresentations or intent.

Investors say the medical technology and digital health company told them reimbursement rates would stay the same ahead of a significant decrease. The would-be class complaint didn’t sufficiently allege iRhythm intentionally made any material misrepresentations, the U.S. District Court for the Northern District of California said.

None of the statements challenged in the investors’ most recent complaint are actionable, Judge Edward M. Chen’s order said. ...