The fallout for embattled blood-testing startup Theranos continued Tuesday as Walgreens filed suit against the startup for $140 million.
Deerfield-based Walgreens filed the lawsuit in Delaware's district court Tuesday alleging a breach of contract. Walgreens is claiming that Theranos violated parts of a non disclosure agreement, although the full details of the lawsuit are still unclear as Walgreens moved to seal the complaint, according to The Verge.
Theranos recently shut down its labs and fired over 300 people after a series of investigations by the Wall Street Journal revealed that the startup's blood tests, which claimed to provide blood tests with just the prick of the finger, were not accurate. Walgreens officially ended its relationship with Theranos in June. Walgreens, which was one of the startup's biggest partners, closed 40 Theranos Wellness Centers that were up and running in Walgreen's pharmacies.
"In light of the voiding of a number of test results, and as the Centers for Medicare and Medicaid Services (CMS) has rejected Theranos’ plan of correction and considers sanctions, we have carefully considered our relationship with Theranos and believe it is in our customers’ best interests to terminate our partnership,” Brad Fluegel, Walgreens Senior Vice President, said in a statement in June.
Theranos is also being sued by some of its investors and former patients.
