Texas AG Secures Nearly $34 Million Settlement with Pharmaceutical Company, Reinforcing Active Ongoing THFPA Enforcement
The Texas Attorney General (“Texas AG”) recently announced a settlement with AstraZeneca Pharmaceuticals LP (“AstraZeneca”) for $33,998,000 to resolve allegations under the Texas Health Care Program Fraud Prevention Act (“THFPA”) arising from the company’s nurse educator program and nurse and patient support programs. See State ex rel. SCEF, LLC v. AstraZeneca Pharmaceuticals LP, No. D-1-GN-25-011002 (250th Dist. Ct., Travis County, transferred Dec. 18, 2025). This settlement is the latest in a series of actions by the Texas AG that demonstrate the office’s focus on large healthcare corporations and aggressive deployment of the THFPA, as discussed here. (more…)
Texas Qui Tam Under Fire: Texas Appellate Dissent Raises Major Constitutional Doubts
In a closely watched mandamus proceeding, the Texas Fifteenth Court of Appeals denied mandamus relief to a defendant pharmaceutical company in a qui tam case brought under the Texas Healthcare Program Fraud Prevention Act (the “Act”). While the majority declined to reach the merits of the defendant’s constitutional challenges to the Act—holding that mandamus relief was premature because an adequate remedy exists through post-trial appeal—the dissent authored by Chief Justice Brister delivers a sweeping critique that could have substantial implications for future qui tam litigation in Texas. Most notably, the dissent concludes that (1) the relator lacks standing under the Texas Constitution; and (2) the Act’s qui tam provisions, as applied in cases in which Texas has not intervened, violate the separation of powers requirement under the Texas Constitution.
TX AG’s Office Continues Aggressive Enforcement Against Healthcare Entities Operating in Texas
In just the last week, the Texas Attorney General’s Office (“TX AG’s Office”) filed three actions against healthcare providers and entities, continuing an increasingly robust and aggressive enforcement regime that dates back to at least the beginning of 2025.