LabMD vs. FTC: Legal Battle Continues

LabMD’s ongoing legal dispute with the Federal Trade Commission has taken another turn. The medical lab testing firm has filed a new, expanded lawsuit against the FTC alleging that the agency abused its power and regulatory authority in filing an administrative complaint against the firm over information security issues.

An earlier, narrower lawsuit against the FTC filed on behalf of LabMD by Cause of Action, a government accountability group, has been withdrawn due to court jurisdiction issues.

In the new lawsuit, filed March 20 in federal district court in Northern Georgia, LabMD argues that an August 2013 administrative complaint filed by the FTC against the firm, “is arbitrary, capricious, an abuse of discretion and power, in excess of statutory authority and short of statutory right, and contrary to law and constitutional right.”

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