Plaintiffs, on behalf of the Class Members, have reached settlements in this class action lawsuit with Walgreens, Ramesh Balwani, and the entity holding the remaining assets of the now-dissolved Theranos, Inc. (the “Theranos ABC”). The Court authorized the Notice because you had a right to know about the settlements and about your options before the Court decided whether to give final approval to the settlements. The Notice explains the lawsuit, the settlements, your legal rights, and the hearing (“Fairness Hearing”) to be held by the Court to consider whether to finally approve the settlements. The Notice and other documents are available on the Important Documents page of this website.

The Honorable Senior Judge David G. Campbell of the United States District Court for the District of Arizona is overseeing this lawsuit. The case is called In re Arizona Theranos, Inc., Litigation, Case No. 2:16-cv-2138. The seven individual Plaintiffs who were appointed by the Court as “class representatives” were Theranos testing customers. The defendants in the lawsuit are Theranos, Inc. (“Theranos”), Walgreens Boots Alliance, Inc. and Walgreen Arizona Drug Co. (together called “Walgreens”), and Elizabeth Holmes and Ramesh Balwani (collectively, “Defendants”).

The Court granted Final Approval of the Settlements on February 6, 2024.

In a class action, one or more people, called plaintiffs, act as class representatives and sue on behalf of others who have similar claims. All of these people together are a class or class members. The individuals or companies the plaintiffs sue are called the defendants. One court resolves the issues for all class members, except those who have excluded themselves from (“opted out” of) the class.

The Court decided that a class trial could be used to determine certain claims in this lawsuit because the requirements of Federal Rule of Civil Procedure 23, which governs class actions in federal courts, were met. The Court has appointed seven named Plaintiffs, who were customers of Theranos testing services, to serve as class representatives.

The Court previously certified a Class and three Subclasses in this case. Notice about the Court’s decision to certify the Class and Subclasses was provided to the Class in 2022 by mail, email, and other means.  A second notice was sent in November 2023, this time about the settlements.  If you received a notice about the settlements by mail or email, then Theranos’s records indicate that you are a member of the Class and one or more of the Subclasses. The Class and Subclasses are defined as follows:

• Class: All purchasers of Theranos testing services, including consumers who paid out-of-pocket, through health insurance, or through any other source (collectively, “purchasers”) between November 2013 and June 2016. 
• Arizona Subclass: All purchasers of Theranos testing services in Arizona between November 2013 and June 2016. 
• California Subclass: All purchasers of Theranos testing services in California between September 2013 and June 2016. 
• Walgreens Edison Subclass: All purchasers of Theranos testing services who were subjected to “tiny” blood draws (fingerpricks) by a Walgreens employee between November 2013 and March 2015.
   

The Court also previously certified a fourth subclass to pursue battery claims against Theranos, Inc., called the “Theranos Edison Subclass,” but that subclass was “decertified” by the Court.

The following are excluded from the Class/Subclasses: (i) Walgreens and its officers, directors, employees, or legal representatives; (ii) the judges in this case and members of their immediate families; and (iii) eligible Class Members who timely and properly opted out of the Class previously.

Theranos’s records will be used to determine who is in the Class and Subclasses.

This lawsuit arises out of Theranos blood testing services offered in Walgreens and Theranos stores. The Plaintiffs claim, among other things, that these blood testing services were not capable of producing reliable results, that the Defendants knew and concealed the blood testing services’ unreliability, that the Defendants conspired to commit fraud on consumers, that Theranos’s “tiny” blood testing technology (blood drawn with fingerpricks) was still in development, and that the customers who were subject to “tiny” Theranos blood draws by Walgreens employees gave their consent to those blood draws under false pretenses. 

The Defendants deny these claims. Walgreens maintains that it did not know that Theranos’s blood testing services “were unreliable and not market-ready,” and that it therefore did not conspire to commit fraud on consumers. Walgreens further maintains that it was, in fact, a victim of Theranos’s fraud. Defendants Holmes and Balwani, on the other hand, contend that Theranos’s blood testing results were generally accurate and reliable, and that consumers were neither deceived nor injured. Defendants also assert that most Class Members have already been fully reimbursed for amounts paid for the tests through the Arizona Attorney General Consent Decree or otherwise, so no other recovery is available to those Class Members. Plaintiffs claim that some Class Members have not been refunded or fully refunded for the tests and that other damages, beyond refunds for the tests, are due to Class Members.

The Court previously certified the Class and Subclasses as to certain claims. The following chart summarizes, for each of these claims, the Defendants, applicable Class or Subclasses (as defined in FAQ 4), and the types of relief Plaintiffs sought.
 

*The Court has since determined that Plaintiffs cannot pursue claims for punitive damages against Walgreens.

As explained in the notices sent about this case, this lawsuit does not seek damages or other relief for personal injury, emotional distress, retesting costs, or medical care costs.

More information about the claims in this case can be found in the operative Second Amended Complaint and in other key case documents that may be viewed on the Important Documents page of this website.

Plaintiffs, Walgreens, Balwani, and the Theranos ABC have now agreed to settlements. The Court has not decided whether Plaintiffs’ claims or Walgreens’ defenses or the other Defendants’ defenses should prevail. By agreeing to the settlement, neither Defendants nor Plaintiffs make any admissions regarding any liability or regarding the merits of the allegations, claims, or defenses in this case.

The Court granted Final Approval of the Settlements on February 6, 2024.

Defendant Theranos has been dissolved and has very limited remaining assets. Those remaining assets were assigned to Theranos (assignment for the benefit of creditors), LLC (referred to in the notice as the “Theranos ABC”) for distribution to Theranos’s creditors. Under the Class’s settlements with Balwani and the Theranos ABC, Balwani has agreed to withdraw his claims to the remaining assets of Theranos, and the Theranos ABC has agreed to allocate a portion of the limited remaining Theranos assets to the Class. See FAQ 9 for more details.

Defendant Elizabeth Holmes is not a party to the settlements. Plaintiffs will ask the Court to dismiss the claims against her while preserving the rights of any Class Member to pursue their own claims against her if they choose—outside of this case and with their own counsel. Please note that any applicable statutes of limitation for any claims you may bring against Ms. Holmes will resume running upon the dismissal of the claims against her, should the Court approve such dismissal.

The complete terms of the settlements are set forth in the Settlement Agreements, which are available on the Important Documents page of this website. The Notice provides only a summary of the terms of the settlements. The settlements’ benefits and other terms are summarized in FAQ 9, FAQ 10, FAQ 11, and FAQ 12.

The settlement with Walgreens (the “Walgreens settlement”) received Final Approval on February 6, 2024, and Walgreens will pay $44 million into a Settlement Fund. This money, including any interest earned on it, will be used pay: (1) settlement payments to Class Members and Walgreens Edison Subclass Members, as described in FAQ 11; (2) the costs of distributing notice and settlement payment checks and other costs of administering the settlement; and (3) court-awarded attorneys’ fees and expenses of the attorneys appointed by the Court to represent the Class (“Class Counsel”) and service awards to the class representatives. Walgreens has no responsibility to pay more than $44 million in connection with the Walgreens settlement, including for any liens or subrogation interests.

In addition, under the Class’s settlements with Balwani and the Theranos ABC, Balwani has agreed to withdraw his claims to the remaining assets, and the Theranos ABC has agreed to allocate a portion of the limited remaining assets to the Class, which will increase the amount of money available to the Class by providing approximately $1.33 million in additional settlement funds (in addition to the $44 million being paid by Walgreens). These additional funds paid by the Theranos ABC were added to the Settlement Fund and distributed to the Class Members according to the same allocation plan provided in the Walgreens settlement, and at the same time as the funds from the Walgreens settlement.

The Court granted Final Approval of the Settlements on February 6, 2024.  Payments were sent to eligible Class Members by mailed check beginning on April 5, 2024.

You did not need to file a claim or take any other action to receive a settlement payment. The Settlement Administrator calculated your settlement payment amount and settlement payments were sent to eligible Class Members by mailed check beginning April 5, 2024.

The Court granted Final Approval of the Settlements on February 6, 2024.

Under the Plan of Allocation, there are two types of payments under the Walgreens settlement: the “Class Member Payment” (for all Class Members, including all members of the Subclasses); and the “Walgreens Edison Subclass Member Payment” (for Walgreens Edison Subclass Members only). 

Class Member Payment (all Class Members):

The Walgreens settlement received Final Approval on February 6, 2024. Each Class Member received a Class Member Payment that was based on the unreimbursed costs of their Theranos blood testing services according to Theranos’s customer records. 

More specifically, each Class Member received a Class Member Payment in an amount that depended on the following formula:

1. a Base Payment of $10.00, plus
2. two times the total costs of their Theranos blood testing services during the Class period (see FAQ 4) (whether such costs were paid out-of-pocket, through insurance, or from another source); minus
3. any refunds the Class Member already received from the 2017 Arizona Attorney General Consent Decree with Theranos. Theranos’s records were used to determine these amounts.

Walgreens Edison Subclass Member Payment (only Walgreens Edison Subclass Members):

In addition to the Class Member Payment, Class Members who are in the Walgreens Edison Subclass (see FAQ 4) also received a Walgreens Edison Subclass Member Payment, as compensation for battery and medical battery claims. The Walgreens Edison Subclass Member Payment will be a flat amount for each Walgreens Edison Subclass Member, currently estimated to be between approximately $700 and $1,000.

Walgreens Edison Subclass Members received both a Class Member Payment and the Walgreens Edison Subclass Member Payment. For an explanation of why only Walgreens Edison Subclass Members received the additional payment, see FAQ 12.

• If the Personal ID # on the notice that you received by mail or email begins with “A,” you are not in the Walgreens Edison Subclass according to Theranos’s customer records. You received a Class Member Payment but not the Walgreens Edison Subclass Member Payment.
• If the Personal ID # on the notice that you received by mail or email begins with “B,” you are in the Walgreens Edison Subclass according to Theranos’s customer records. You received both a Class Member Payment and the Walgreens Edison Subclass Member Payment.
   

Class Members should consult their personal tax advisor for assistance regarding any tax ramifications of the settlements. Neither Class Counsel nor Defendants and their counsel are providing any opinion or advice as to the tax consequences or liabilities of Class Members as a result of any payments under the settlements.

Other Details About the Allocation of Settlement Funds:

Class Member Payments and Walgreens Edison Subclass Member Payments were paid from the amount in the Settlement Fund minus Court-authorized attorneys’ fees and expenses, notice and administration costs, and service awards to the class representatives.

For any settlement check funds that remain uncashed one year after the initial distribution of the settlement checks, those residual amounts will be distributed as part of a second distribution (if practicable) to those who cashed their initial payment checks and/or treated as unclaimed funds subject to applicable state unclaimed property procedures. 

Visit the Update Contact Information/View Payment Estimate page to view your estimated settlement payment amount using the Personal ID # and PIN you received by mail and/or email. You may view the detailed Plan of Allocation on the Important Documents page. If you have lost your Personal ID #, you can obtain it by calling (866) 615-0978 or emailing info@TheranosLawsuit.com.

The Court ordered that the settlement funds be allocated to the Class and Walgreens Edison Subclass as directed in the Plan of Allocation. You may view the Final Order and Judgment on the Important Documents page of this website.

The Court permitted the Walgreens Edison Subclass to pursue battery and medical battery claims against Walgreens. The other Class Members, who are not Walgreens Edison Subclass Members, were not permitted by the Court to pursue battery or medical battery claims. Under the Plan of Allocation, the Class Member Payments are expected to fully or nearly fully compensate all Class Members for the potential damages they could have been awarded for the remaining claims at trial other than for the battery and medical battery claims that only the Walgreens Edison Subclass Members have. The Walgreens Edison Subclass Member Payment is intended to compensate Walgreens Edison Subclass Members for their separate battery and medical battery claims.

Please note that not every Class Member who had a ‘tiny’ blood draw (fingerprick) is a Walgreens Edison Subclass Member. Only Class Members who had a ‘tiny’ blood draw (fingerprick) performed by a Walgreens employee are in the Walgreens Edison Subclass and qualify for the additional Walgreens Edison Subclass Member Payment. If you only had ‘tiny’ blood draw(s) (fingerpricks) performed by Theranos employee(s), you are not in the Walgreens Edison Subclass. The Court previously ruled in this case that ‘tiny’ blood draws (fingerpricks) performed by Theranos employees could not be the basis for a battery claim against Walgreens. The Walgreens Edison Subclass Member Payments are being made to resolve the battery claims against Walgreens. See FAQ 4 and FAQ 5 for further information.

Yes. The Court appointed two law firms as “Class Counsel” to represent the Class and Subclasses:   

You do not have to pay Class Counsel for their time or expenses incurred in this case out of your pocket. Instead, Class Counsel petitioned the Court for an award of their fees and expenses; the amount awarded to Class Counsel by the Court will be paid from the Settlement Fund.

The Court has also appointed Plaintiffs A.J., A.R., B.B., B.P., D.L., R.G., and S.L. as class representatives to represent the Class, and Plaintiff B.P. as class representative to represent the Walgreens Edison Subclass.

Class Counsel filed a motion on November 22, 2023 asking the Court to award them attorneys’ fees of 30 percent of the $44 million Walgreens Settlement Fund (i.e., $13.2 million), plus reimbursement of their litigation expenses, which are estimated to be up to $1.3 million. The attorneys’ fees and expenses awarded by the Court will be the only payment to Class Counsel for their efforts in achieving the settlements and for their risk in undertaking this representation on a wholly contingent basis. In addition, Class Counsel asked the Court on November 22, 2023 to award the seven class representatives a service award of $10,000 each to compensate them for their efforts and commitment on behalf of the Class. All court-awarded attorneys’ fees, expenses, and service awards will be paid from the Settlement Fund.

The Court approved an amount of attorneys' fees, expenses, and service awards in the Final Approval Order. A copy of Class Counsel's application for attorneys' fees, expenses, and service awards and a copy of the Final Approval Order are found on the Important Documents page.

The Court granted Final Approval of the Settlements on February 6, 2024.

You do not need to hire your own lawyer because Class Counsel represents you and the other members of the Class. However, you have the right to hire your own lawyer. If you want your own lawyer separate from Class Counsel, you will have to pay that lawyer.

If you are in the Class, you were automatically sent a settlement payment.   Payments were sent to eligible Class Members by mailed check beginning on April 5, 2024.  See FAQ 4, FAQ 10, and FAQ 11 for details.

The Court granted Final Approval of the Settlements on February 6, 2024.

If you are in the Class, you could have commented on or objected to the settlement(s) or Class Counsel’s request for attorneys’ fees, litigation expenses, and service awards. To be considered by the Court, your comment or objection must have been filed with the Court or mailed to the Clerk of Court, filed/postmarked no later than January 8, 2024. The deadline to comment on or object to the Settlement(s) has passed.

No, you may not exclude yourself at this time. The instructions and deadline for excluding yourself were provided in a prior notice to the Class members in 2022, and the deadline has now passed.

If you previously excluded yourself by the September 12, 2022 deadline, you are not part of the Class or Subclasses and will not receive any settlement payment from the settlements. If you did not previously exclude yourself by the September 12, 2022 deadline, you will be bound by any judgments in this case, including regarding the settlements.

In exchange for the settlement benefits, you will release (give up) all claims about the issues in this lawsuit against Walgreens and its affiliates listed in the Settlement Agreement, Ramesh Balwani, and Theranos and the Theranos ABC and their affiliates. The Settlement Agreements, available on the Important Documents page, describe the claims you are releasing (giving up).

The Court held a Fairness Hearing on February 6, 2024 at 1:00 p.m., before the Honorable David G. Campbell at the United States District Court for the District of Arizona, Sandra Day O’Connor United States Courthouse, Courtroom 603, 401 W. Washington St., Phoenix, Arizona 85003. 

At the Fairness Hearing, the Court considered whether any or all of the settlements should be approved as fair, reasonable and adequate. The Court also considered Class Counsel’s application for attorneys’ fees, expenses, and service awards. If there were timely valid objections, the Court considered them. The Court granted Final Approval of the Settlements on February 6, 2024.

No, you did not have to attend the hearing. Class Counsel answered any questions the Court may have had. If you submitted an objection or comment, you did not have to come to Court to talk about it. As long as you submitted your written objection or comment on time and complied with the requirements listed in FAQ 17, the Court considered it. 

This website includes important case deadlines, links to case documents, including the Final Order and Judgment, the full Settlement Agreements, Plan of Allocation, the operative complaint in this lawsuit, and other information about the lawsuit and the settlements. You can also obtain more information by calling the Settlement Administrator toll-free at 1-866-615-0978 or contacting Class Counsel (see FAQ 13). You may also write the Settlement Administrator via email at info@TheranosLawsuit.com or by mail at:

In re Arizona Theranos, Inc., Litigation
c/o JND Legal Administration
P.O. Box 91214
Seattle, WA 98111