Legal Library: Cases and Proceedings

The FTC, joined by Utah and California, by and through Los Angeles County Counsel, today sued Hims & Hers alleging that the telehealth provider shared consumers’ sensitive health information about medical conditions with third-party advertising platforms despite claiming its services maintain consumers’ privacy and deceives users about its billing and cancellation practices.

The FTC filed a lawsuit against the three largest prescription drug benefit managers (PBMs)—Caremark Rx, Express Scripts (ESI), and OptumRx—and their affiliated group purchasing organizations (GPOs) for engaging in anticompetitive and unfair rebating practices that have artificially inflated the list price of insulin drugs.

On February 4, 2026, the Federal Trade Commission secured a landmark settlement with Express Scripts, Inc., and its affiliated entities (collectively “ESI”). The settlement requires ESI to adopt fundamental changes to its business practices that increase transparency, are expected to drive down patients’ out-of-pocket costs for drugs like insulin by up to $7 billion over 10 years, bring millions of dollars in new revenue to community pharmacies each year, and advance the Trump Administration’s key healthcare priorities.

On July 14, 2026, the Federal Trade Commission secured a settlement agreement Caremark Rx LLC and Zinc Health Services LLC (collectively Caremark) .

Caremark has agreed to a settlement agreement that requires the PBM to adopt changes to its business practices to drive down patients’ out-of-pocket costs, increase transparency and ensure community pharmacies are treated fairly.

The Federal Trade Commission, along with Alaska, Iowa, Nebraska and Texas, today filed a lawsuit against the World Professional Association for Transgender Health (WPATH), alleging the organization has provided the means for medical providers to make false and unsubstantiated claims to parents in order to sell pediatric medical transition services.

The FTC sued multilevel marketer Amare Global Holdings Inc. and three of its principals for misrepresenting to parents and other consumers that its dietary supplements marketed for children and adults could treat or cure health conditions such as depression, anxiety and ADHD, and for misleading its seller recruits about their potential earnings as “brand partners.” 

The Federal Trade Commission has asked a federal court to hold in contempt dietary supplement provider Amare Global Holdings as well as its former Chief Science Officer Shawn Talbott and two other individuals over allegations they violated an FTC order in the Window Rock case that banned Talbott and those who work with him from making false, deceptive or unsubstantiated health claims.

The Federal Trade Commission took action to protect Americans with intellectual and developmental disabilities and their families by requiring Sevita Health (Sevita) to divest more than 100 healthcare facilities to resolve antitrust concerns surrounding its proposed $835 million acquisition of BrightSpring Health Services, Inc.’s (BrightSpring) community living business.

Under the FTC’s proposed consent order, Sevita will be required to divest 128 intermediate care facilities (ICFs), which provide IDD services, and other assets such as day-training programs. The divested facilities—which are in Indiana, Louisiana, and Texas—will be acquired by Dungarvin Group, Inc. (Dungarvin), an experienced and well-regarded operator of ICFs.

On June 10, 2026, the FTC finalized the consent order in this matter. 

The Federal Trade Commission took action to protect American patients from higher outpatient surgery costs by requiring national nonprofit health system Ascension Health Alliance (Ascension) to divest several surgery center facilities to complete its proposed $3.9 billion acquisition of AmSurg LLC.

In April 2026, at the FTC’s request, a U.S. district court in Florida temporarily halted a nationwide operation that allegedly impersonates the government and large insurance carriers to deceive consumers seeking health insurance into buying supposedly comprehensive PPO plans that do not offer the coverage they seek.

In January 2026, at the Federal Trade Commission’s request, a U.S. district court in Florida has temporarily stopped the operations of a web of companies and individuals that the FTC alleges caused tens of millions of dollars in harm through the deceptive marketing of health care plans. 

In July 2025, the Federal Trade Commission announced that the operators of telemedicine company Southern Health Solutions, Inc., doing business as Next Medical and NextMed, have agreed to settle the FTC’s charges that they used deceptive claims about costs and weight loss, fake reviews, and fake testimonials to lure consumers into buying their weight-loss membership programs that had hidden terms and conditions.

The proposed order requires NextMed and its principals to pay $150,000, which is expected to be used to provide refunds to consumers.

In August 2025, the FTC announce Assurance IQ, LLC and MediaAlpha, Inc. will pay a total of $145 million to settle that they misled millions of consumers seeking to buy comprehensive health insurance. The FTC alleged that both Assurance and MediaAlpha deceived consumers and led them to purchase plans that did not provide the promised health care coverage, and bombarded consumers with telemarketing and robocalls. 

In August 2025, the FTC announce Assurance IQ, LLC and MediaAlpha, Inc. will pay a total of $145 million to settle that they misled millions of consumers seeking to buy comprehensive health insurance. The FTC alleged that both Assurance and MediaAlpha deceived consumers and led them to purchase plans that did not provide the promised health care coverage, and bombarded consumers with telemarketing and robocalls. 

In January 2025, the FTC sued Florida-based Evoke Wellness, LLC and Evoke Health Care Management and their officers Jonathan Mosley and James Hull for using a combination of deceptive Google search ads and telemarketing to masquerade as other substance use disorder treatment providers. The FTC announced the settlement of the case in June 2025, with the defendants being barred from the deceptive conduct and agreeing to pay a $1.9 million civil penalty.

Cerebral, Inc. has agreed to an order that, will restrict how the company can use or disclose sensitive consumer data and require it to provide consumers with a simple way to cancel services to settle FTC charges that the telehealth firm failed to secure and protect sensitive health data.

The sellers of a supposed N95-grade face mask called the Zephyr will pay more than $1.1 million to provide full refunds to consumers nationwide, as well as a civil penalty, under a proposed settlement the Federal Trade Commission announced today. The order settling the complaint also bars Razer, Inc., from making COVID-related health misrepresentations or unsubstantiated health claims about protective health equipment and requires them to pay a civil penalty of $100,000. In January 2025, the FTC announced it was returning more than $1 million to defrauded consumers.

In July 2023, the Commission took action under the FTC Act and the OARFPA against the makers of Sobrenix, which was deceptively marketed to reduce and even eliminate alcohol cravings and consumption. As a result of the FTC’s suit, the defendants agreed to a proposed court order permanently banning them from making any unsubstantiated claims about health care products or services, as well as requiring them to pay $650,000 to provide refunds to consumers. In November 2024, the FTC announced it was sending $536,000 in refunds to defrauded consumers who bought the product.

The FTC reached a settlement with 1Health.io over allegations that it left sensitive genetic and health data unsecured, deceived consumers about their ability to get their data deleted and changed its privacy policy retroactively without adequately notifying and obtaining consent from consumers whose data the company had already collected.

A federal court granted the Federal Trade Commission’s request to temporarily shut down an alleged pyramid scheme known as “Success By Health,” and to freeze the assets of the company and its executives.

In May 2023, a federal court sided with the Federal Trade Commission, ruling that James D. Noland, Jr. illegally owned and operated two pyramid schemes—Success By Health (SBH) and VOZ Travel—in violation of the FTC Act and that Noland violated a previous federal court order barring him from pyramid schemes and from misrepresenting multilevel marketing participants’ income potential.