Pharmacies Sue CVS Citing Privacy Rule Violations
PRIVACY LAW—U.S.October 5, 2010
Six Texas pharmacies have filed suit against CVS Caremark for alleged violations of the HIPAA privacy rule, Health Data Management reports. American Pharmacies, the group representing the independent pharmacies, alleges that the company is mining data and contacting individual patients and physicians for marketing purposes, the report states. This activity violates the HIPAA privacy rule, the plaintiffs say, and flies in the face of a Federal Trade Commission mandate coming out of a 2009 settlement with the company on similar charges. A CVS spokesperson said in a statement that the company "is confident that its business practices and service offerings...are being conducted in compliance with applicable antitrust, privacy and other laws."