AngioDynamics Lawsuit Claims C.R. Bard is Violating Antitrust Laws

C.R. Bard Inc. has illegally tied the sale of its tip location systems to its line of peripherally inserted central catheters (PICCs), violating federal antitrust laws, preventing competition in the marketplace and limiting patient access to superior technology, according to a lawsuit filed by AngioDynamics. The lawsuit was filed in U.S. District Court for the Northern District of New York.
 
Tip location systems are devices that can be used to aid healthcare professionals in the bed-side placement of a PICC. The lawsuit claims that Bard has a dominant position in the tip location system market and will only sell the proprietary stylet necessary to operate its tip location systems preloaded in its PICCs, not separately which would allow any type of PICC to be used with the tip location systems. By doing so, customers who want to buy Bard’s tip location systems must also buy Bard’s line of PICCs, preventing hospitals and other medical providers from purchasing AngioDynamics’ superior BioFlo PICCs.

AngioDynamics does not make its own tip placement devices, while those sold by C.R. Bard are some of the most popular on the market.
 
“AngioDynamics introduces innovative technologies, like the BioFlo PICC, that are designed to improve patient outcomes and reduce costs to the healthcare system,” said Chad Campbell, senior vice president and general manager of AngioDynamics’ Vascular Access Division.
 
BioFlo PICCs offer a benefit to patients in the marketplace due to its proprietary technology, Endexo, that test results have demonstrated has 87 percent less thrombus accumulation on its surface than traditional PICCs,¹ producing fewer complications and facilitating higher patient care at a lower cost. The so-called tip placement devices use imaging technology to locate the correct spot on the body to insert the catheter, which is typically used to administer drugs to a patient directly into their blood stream.
 
AngioDynamics says C.R. Bard’s practice of pre-loading the catheters into its tip placement devices contributes to high healthcare costs because AngioDynamics’ catheters have been shown to lead to fewer complications from improper insertion, which reduces patient costs.
 
“This case involves a classic violation of the antitrust laws. Bard has no justification for preventing purchasers from choosing to use its market-leading tip location systems with AngioDynamics’ innovative BioFlo PICCs,” said Philip Iovieno of Boies Schiller Flexner, antitrust counsel for AngioDynamics.

Jim Clemmer, AngioDynamics President and CEO stated, “We are committed to fighting Bard’s illegal scheme that has been detrimental to patients, reduced competition and led to increased cost in the marketplace; and violated the federal antitrust laws.”

C.R. Bard has not commented on the lawsuit.

The lawsuit seeks to end Bard’s violation of the antitrust laws and recover treble damages for its losses due to Bard’s violations, as well as attorneys’ fees and other costs. AngioDynamics is represented by Philip Iovieno and Anne Nardacci of the law firm of Boies Schiller Flexner LLP.  
 
AngioDynamics is seeking undisclosed damages that it has suffered from C.R. Bard’s practices, although catheters aren’t always inserted into patients using a tip-placement device. The company is being represented by the law firm of Boies Schiller Flexner LLP, including two attorneys in its Albany office, Philip Iovieno and Anne Nardacci.
 
AngioDynamics Inc. is a provider of minimally invasive medical devices used by professional healthcare providers for vascular access, surgery, peripheral vascular disease and oncology. AngioDynamics’ product lines include ablation systems, fluid management systems, vascular access products, angiographic products and accessories, drainage products, thrombolytic products and venous products. The company is based in Latham, N.Y.

Reference
1. Based on benchtop test results which may not be indicative of clinical results. Data on file.