SAN FRANCISCO -- A federal judge remanded a class-action lawsuit against a drug company back to the California court where it originated.
Andrew Williamson sued Genentech Inc. on behalf of himself and other similar customers, saying the company’s sale of prescription drugs in single-dose vials is wasteful and violated California’s Unfair Competition law. The defendant had removed the case from the San Mateo Superior Court to federal court.
U.S. Magistrate Judge Jacqueline Scott Corley ruled March 18 that Williamson lacks standing in the case because he couldn’t show that Genentech’s policies harmed him personally or his insurance company. Corley remanded the case back to San Mateo County.
Williamson was prescribed a drug called Rituxan for treatment of lymphoma. His insurance paid for all but $231 of the cost of the drug.
The lawsuit “does not allege that had Genentech offered smaller vials plaintiff would have paid less,” Corley ruled.
In fact, Williamson conceded that his cost would have been the same, even with smaller vials.
In order for the federal court to have jurisdiction, Williamson would have to allege that he suffered an injury “fairly traceable to the defendant’s conduct,” Corley held.
“Plaintiff has not alleged, and cannot allege, that he would have paid any less if a smaller vial of Rituxan had been provided,” the magistrate held. “Accordingly, he did not suffer any injury and thus does not have Article III standing.
“The Court is not holding that no one has standing to challenge Genentech’s conduct, only that plaintiff does not have standing,” she wrote. “A patient who could actually allege that Genentech’s practices caused him to personally pay more money, or the insurance company that paid for the medication, would likely have Article III standing. It is just that Mr. Williamson does not.”