Kehoe Law Firm, P.C. is counsel to Southeastern Pennsylvania Transportation Authority (“SEPTA”), along with additional lead plaintiffs City of Miami Fire Fighters’ and Police Officers’ Retirement Trust and the Louisiana Sheriffs’ Pension & Relief Fund, in a securities class action against CVS Health Corporation (“CVS”) and certain of its officers pending in the U.S. District Court for the Southern District of New York.
On October 6, 2026, U.S. District Judge Margaret M. Garnett denied CVS’s motion for reconsideration of her earlier ruling on defendants’ motion to dismiss, which allowed significant portions of shareholders’ claims concerning CVS’s alleged use of artificial intelligence in connection with Medicare Advantage care decisions to proceed.
In the class action, Louisiana Sheriffs’ Pension and Relief Fund et al. v. CVS Health Corp. et al., Case No. 1:24-cv-05303, filed in the U.S. District Court for the Southern District of New York, plaintiffs allege that CVS used an artificial intelligence tool in connection with Medicare Advantage post-acute care decisions, resulting in widespread denials of care to elderly patients and generating substantial cost savings.
The lawsuit further alleges that CVS misled investors by failing to disclose material information concerning the use and financial impact of those AI-related practices. Investors also allege that subsequent revelations, including information described in a U.S. Senate report, contributed to a decline in CVS’s stock price.
“We believe the Court’s denial of the reconsideration motion was appropriate and consistent with its prior ruling allowing these important investor claims to move forward,” said John Kehoe, a partner at Kehoe Law Firm. “We look forward to proceeding to discovery and continuing to develop the factual record on behalf of the investor class.”
Investors with questions or concerns about the class action can send us a message or contact:
John Kehoe, Esq.
(215) 792-6676, Ext. 801
[email protected]
[email protected]
About Kehoe Law Firm, P.C.
Kehoe Law Firm, P.C. is a nationally recognized, plaintiff-side class action law firm representing investors and consumers in matters involving securities fraud, corporate misconduct, mergers and acquisitions, antitrust violations, whistleblower claims, data breaches, consumer fraud, employment law violations, and retirement-plan mismanagement. Its attorneys have served as lead or co-lead counsel in major securities cases, recovering more than $10 billion for institutional and individual investors.
Kehoe Law Firm’s class action legal services are provided on a contingency-fee basis, meaning clients are not responsible for attorneys’ fees or litigation expenses. Any request for attorneys’ fees and expenses will be subject to court approval.
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