United HealthCare Services, Inc. v. AmerisourceBergen Corporation

Court of Appeals for the Eighth Circuit·Decided July 31, 2026·No. 25-3205·Published

Opinion

United States Court of Appeals For the Eighth Circuit ___________________________

No. 25-3205 ___________________________

United HealthCare Services, Inc.

Plaintiff - Appellant

v.

AmerisourceBergen Corporation; AmerisourceBergen Drug Corp.; AmerisourceBergen Specialty Group, LLC; ASD Specialty Healthcare, LLC, doing business as Oncology Supply Company; Medical Initiatives, Inc., doing business as Oncology Supply Pharmacy Services

Defendants - Appellees ____________

Appeal from United States District Court for the District of Minnesota ____________

Submitted: May 14, 2026 Filed: July 31, 2026 ____________

Before L.R. SMITH, BENTON, and STRAS, Circuit Judges. ____________ L.R. SMITH, Circuit Judge.

United Healthcare Services, Inc. (UHS) filed suit against AmerisourceBergen Corporation (AmerisourceBergen) and related companies 1 (collectively, “Amerisource defendants”), alleging that the Amerisource defendants perpetrated an unlawful scheme to distribute and sell doses of adulterated oncology drugs. UHS alleged that these drugs were administered to patients in Minnesota and nationwide, including patients insured under programs that UHS operated. UHS brought claims for common-law fraud and unjust enrichment, as well as claims alleging violations of various Minnesota statutes. Amerisource moved to dismiss all claims. The district court2 dismissed the complaint on several grounds, including that it was untimely. UHS now appeals. We affirm the district court’s dismissal of UHS’s complaint because it was untimely and thus barred by the applicable statute of limitations.

I. Background UHS, a Minnesota corporation, administers commercial insurance and managed-care programs on behalf of its subsidiaries and affiliates. AmerisourceBergen, a Delaware corporation, is a pharmaceutical sourcing and distribution company. It has a pharmaceutical distribution segment that includes multiple subsidiaries.3 Notably, AmerisourceBergen acquired MII in 2001.

1 AmerisourceBergen Drug Corp. (ABC Drug); AmerisourceBergen Specialty Group, LLC (ABC Specialty); ASD Specialty Healthcare, LLC, doing business as Oncology Supply Company (Oncology Supply); and Medical Initiatives, Inc., doing business as Oncology Supply Pharmacy Services (MII). 2 The Honorable Donovan W. Frank, United States District Judge for the District of Minnesota. 3 These include ABC Drug and ABC Specialty. ABC Drug is a nationwide wholesale supplier of pharmaceuticals, including injectable products. ABC Specialty provides oncology-distribution services to healthcare providers nationwide. Oncology Supply, formerly a division or subsidiary of ABC Specialty, was a pharmaceutical wholesaler; it is no longer in business. MII, a Florida corporation, operated out of Oncology Supply’s Alabama facility. -2- UHS alleges that between 2001 and 2014, the Amerisource defendants “perpetrated” “an unlawful scheme . . . to distribute and sell millions of doses of adulterated oncology drugs to be administered to cancer patients in Minnesota and nationwide, many of which were insured under commercial and government insurance programs operated by UHS.” R. Doc. 77 ¶ 1. The unlawful scheme, “known as the Pre-Filled Syringe Scheme,” involved the Amerisource defendants unlawfully repackaging drugs for resale. Id. ¶ 2. The scheme operated as follows: Oncology Supply purchased single-use and multi-use glass vials of oncology drugs that the Food and Drug Administration (FDA) had approved. Product manufacturers delivered the oncology medication vials to Oncology Supply in sealed FDA- approved packaging. Each vial contained an “overfill” amount “to account for human error or spillage in filling syringes.” Id. ¶ 59; see also id. ¶ 15. Overfill is not intended for patient use and must be discarded; “[i]t cannot be bought or sold independent from its original vial.” Id. ¶ 60.

According to UHS’s complaint, after receiving the vials from product manufacturers, Oncology Supply sent the drugs to MII. MII was not a pharmacy and was never registered as a manufacturer or re-packager of prescription medicine with the FDA. MII took the overfill vials and then “broke the vials’ sterile seals, pooled together medicine from numerous vials, and created pre-filled syringes (‘PFS’) of the drugs to be sold down the supply chain.” Id. ¶ 6; see also id. ¶ 61. “This was illegal.” Id. ¶ 61. Thereafter, ABC Specialty sold or distributed the PFS to healthcare providers. UHS then reimbursed claims filed by providers or patients for syringes administered to individuals insured by UHS. UHS acknowledges that the Amerisource “[d]efendants did not themselves submit claims for payment to government healthcare programs or insurers.” Id. ¶ 269.

UHS alleges that the Amerisource defendants engaged in this scheme knowing that UHS “would ultimately pay for a substantial number of the adulterated oncology drugs” because “[m]any of the cancer patients who received PFS were insured by UHS’s health plan subsidiaries and affiliates . . . and UHS paid for their treatment accordingly.” Id. ¶ 10. UHS did not know that “[t]he PFS were adulterated, -3- dangerous, tainted, effectively worthless, and had no market value.” Id. In addition, UHS alleges that “[t]he PFS scheme breached basic safety standards,” including those promulgated by the FDA and Centers for Disease Control and Prevention (CDC). Id. ¶ 8. According to UHS, the Amerisource “[d]efendants made or caused to be made material misstatements or omissions continuously between approximately 2001 and 2014” on “product labels . . . , National Drug Codes, packaging, invoices, promotional statements, website material, publications, and . . . within information conveyed to providers who sought reimbursement for Oncology Drugs from UHS.” Id. ¶ 280.

Prior to UHS’s suit, the PFS scheme was the subject of other civil actions and government investigations. “On October 21, 2010, a qui tam action was filed under seal in the United States District Court for the Eastern District of New York . . . .” Id. ¶ 223 (citing 31 U.S.C. § 3730(b)). In that action, Michael Mullen, the Chief Operating Officer of ABC Specialty, alleged that “[w]ithin mere months of taking the COO helm” in “late 2009,” “he identified significant compliance failures with ABC Specialty’s oncology business, including Oncology Supply and MII.” Id. ¶ 224. In 2010, AmerisourceBergen disclosed this qui tam action in its publicly filed Securities and Exchange Commission (SEC) annual report for the fiscal year ending September 30, 2010. See R. Doc. 30-2, at 3. 4

In 2012, AmerisourceBergen disclosed in its SEC annual report for the fiscal year ending September 30, 2012, that the Dothan, Alabama facility—where MII and Oncology Supply were located—was the subject of a related government investigation. In that report, AmerisourceBergen disclosed that it had “received a subpoena from the USAO[ 5] requesting production of documents and information relating to . . . Oncology Supply distribution center and pharmacy in Dothan,

4 The district court took judicial notice of the Amerisource defendants’ SEC disclosures. See R. Doc. 56, at 4 n.3. UHS has not challenged that decision on appeal. 5 United States Attorney’s Office for the Eastern District of New York.

-4- Alabama, which the Company believes could be related to a qui tam action that remains under seal.” R. Doc. 30-3, at 3. That investigation had been covered in the news media earlier that year. See R. Doc. 30-8.6 On August 9, 2012, the Wall Street Journal had reported that “[o]n July 11, [2012], investigators with the inspector general for the Department of Health and Human Services and the U.S. Food and Drug Administration served a search warrant at the Dothan site.” Id. at 3.

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