Walgreens Boots Alliance Inc (NASDAQ:WBA) is suing Theranos for $140 million.
The lawsuit from Walgreens Boots Alliance Inc is sealed, which means that little can be learned about it. However, unnamed sources have provided some details of the lawsuit to The Wall Street Journal.
The lawsuit against Theranos was filed in a federal court located in Delaware. The $140 million that Walgreens Boots Alliance Inc is seeking is the same amount that the company invested in Theranos.
Walgreens Boots Alliance Inc has refused to comment on the lawsuit, but Theranos is speaking out. It told WSJ that WBA “consistently failed to meet its commitments.” The company also said that it “has caused Theranos and its investors significant harm,” via the mishandling and the lawsuit.
Walgreens Boots Alliance Inc claims that Theranos mislead it when it formed a contract with the blood-testing comapny. The unnamed sources said that the level of technology that Theranos was using for its tests wasn’t accurately conveyed to the pharmacy company.
The new lawsuit Walgreens Boots Alliance Inc has filed against Theranos is “Walgreen Co v. Theranos Inc, U.S. District Court, District of Delaware, No. 16-01040.”
Walgreens Boots Alliance Inc announced earlier this year that it was terminating its relationship with Theranos. This included closing down all 40 of the Theranos Wellness Centers that were in its stores in Arizona. It also put an end to all plans that would have brought Theranos’ blood-testing machines to more of its locations.
WBA stock was up 2% as of Wednesday afternoon.
