The court concluded that there was no wrongdoing on the part of RST-SANEXAS concerning insurance reimbursements associated with the manufacturer’s neoGEN® treatments.
LAS VEGAS, Dec. 15, 2022 /PRNewswire/ — On October 11, 2022, a Federal Judge in the Central District of California dismissed all claims against RST-SANEXAS, granting summary judgment against Vanguard Clinic and related plaintiffs. The judge rejected the validity of the plaintiffs’ claims of misrepresentation of potential reimbursement for the cost of neoGEN® device purchases, ruling that the manufacturer acted well within legal boundaries.
The suit (Case No. 2:20-CV-11234-J) was centered on allegations that RST-SANEXAS misled plaintiffs regarding insurance coverage for the neoGEN® treatments, thus resulting in an inability to obtain reimbursement. The plaintiffs claimed that they were told that their decision to purchase the neoGEN® devices produced by RST-SANEXAS was based on false information provided by the manufacturer.
However, after examining the evidence, the Court concluded that RST-SANEXAS had effectively communicated the necessary disclaimers in their sales contracts and marketing materials. Furthermore, the Court deemed that the manufacturer had made it sufficiently clear that they were not a billing authority, and that customers should consult the appropriate insurance carriers to confirm reimbursement.
In its opinion, the Court wrote:
The statements that RST made to Plaintiffs through its sales agents and marketing materials only concerned whether it is possible for the cost of SANEXAS treatment to be reimbursed by insurance carriers. Plaintiffs do not dispute that ‘SANEXAS treatment can be subject to reimbursement, and they often are’ nor do they dispute that such reimbursements are often ‘around $125/treatment’ as advertised. Moreover, each of the advertisements that Plaintiffs submitted includes disclaimers that the reimbursements advertised may vary by region and insurance carrier. None of the evidence submitted by Plaintiffs demonstrated that RST-SANEXAS made representation guaranteeing that Plaintiffs themselves would be reimbursed.
The Court’s ruling effectively ends the case against RST-SANEXAS. Throughout the case, the manufacturer maintained that they firmly believe in the merits of the neoGEN® device and its ability to provide significant benefits for patients, including but not limited to increased circulation, reduced pain, effective rehabilitation, and overall support.
In response to the decision from the Court, Lisa Sorgnard, President and CEO of RST-SANEXAS, stated, “This was a long time coming! We were confident in the outcome, and now we can return to focusing on helping providers help patients.”
Additional details about RST-SANEXAS are available at https://www.rstsanexas.com/.
About RST-SANEXAS: RST-SANEXAS is a Nevada-based medical device manufacturer and industry pioneer best known for developing a broad spectrum of advanced technologies designed to improve patient outcomes for pain management. The company’s mission is primarily focused on innovation in the pain, circulatory, and rehabilitation sectors of the modern healthcare field. RST-SANEXAS specializes in non-invasive, non-pharmaceutical treatment solutions that incorporate the principles of quantum physics to deliver meaningful results. Their neoGEN-Series® of devices has earned FDA clearance as a safe, effective option for targeting pain, circulation, and neuromuscular rehabilitation goals.
For more information about RST-SANEXAS, the recent court ruling, or the neoGEN-Series® of medical devices, please contact firstname.lastname@example.org.