Siemens Defeats Bid to Reinstate Medical Device Fraud Lawsuit

Appeals court affirms dismissal of False Claims Act suit alleging Siemens caused customers to bill federal programs for flawed devices

Published on Feb. 24, 2026

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Siemens Medical Solutions USA Inc. successfully defended against a False Claims Act lawsuit that alleged the company caused customers to bill federal health-care programs for flawed in vitro diagnostic devices. The U.S. Court of Appeals for the Second Circuit affirmed a lower court's dismissal of the case, finding that the whistleblower, Mary Bixler Wood, failed to plead the fraud with adequate particularity.

Why it matters

This case highlights the high bar whistleblowers must meet when bringing False Claims Act lawsuits alleging fraud against the government. The ruling reinforces that plaintiffs must provide specific details about the who, what, when, where, and how of the alleged fraud in order to survive a motion to dismiss.

The details

The appeals court agreed with the lower court that Wood did not identify the specific details of the fraud Siemens allegedly perpetrated. The whistleblower failed to provide information about the particular devices involved, the customers who billed federal programs, and the timeframe of the alleged misconduct.

  • The lawsuit was filed in the U.S. District Court for the Southern District of New York.
  • On February 24, 2026, the U.S. Court of Appeals for the Second Circuit affirmed the lower court's dismissal of the case.

The players

Siemens Medical Solutions USA Inc.

A subsidiary of the German conglomerate Siemens AG that develops and manufactures medical devices and equipment.

Mary Bixler Wood

The whistleblower who filed the False Claims Act lawsuit against Siemens.

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The takeaway

This case underscores the high legal hurdles whistleblowers face when bringing fraud claims against major corporations under the False Claims Act. The ruling highlights the importance of providing granular details about the alleged misconduct in order to overcome motions to dismiss.