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Simpson Thacher Wins Summary Judgment in an Antitrust Case Brought against Express Scripts, Inc., in the Eastern District of Texas

03.17.08

On March 11, 2008, United States District Judge David Folsom granted motions for summary judgment in favor of STB client Express Scripts, Inc. and two other national Pharmacy Benefit Managers.

In October 2004, Rx.com, an internet drugstore, alleged that Medco Health Solutions, Inc., Caremark Rx, Inc. and Express Scripts, Inc. (the “Defendants”) conspired to refuse to do business with Rx.com, in violation of Sections One and Two of the Sherman Act and various state statutes. After extensive discovery, Defendants moved for summary judgment based on the statute of limitations. In dismissing the matter with prejudice, the Court held that the statute of limitations began to run in February 2000 because at that point Plaintiff knew of its alleged injury and knew the identity of the Defendants—the so-called “injury focused accrual rule”-- and rejected Plaintiff's argument that the statute did not begin to run until the Plaintiff had more specific information about the alleged conspiracy.

Simpson Thacher attorneys litigating the matter include Kenneth Logan, Joseph Wayland, Jayma Meyer, Silvia Ostrower and Jeffrey Hoschander; former associates include Charlton Rugg and Gabe Galletti. Paralegal Leila Catto also provided valuable assistance.