Legal Proceedings.
−Removed: In May 2020, the Company was named as a defendant in three California state court class action lawsuits arising from a phishing incident that occurred in January 2020.
−Removed: Collectively, these lawsuits seek statutory, compensatory, actual, and punitive damages;
−Removed: equitable relief, including restitution;
−Removed: pre- and post-judgment interest;
−Removed: injunctive relief;
−Removed: and attorney fees, costs, and expenses from the Company.
−Removed: On July 24, 2020, these three lawsuits were consolidated into a single case in the Superior Court of the State of California in the County of San Bernardino entitled Joseph Deluna et al.
−Removed: Tandem Diabetes Care, Inc.
−Removed: The consolidated case alleges violations of the Confidentiality of Medical Information Act (CMIA), CCPA, California’s Unfair Competition Law (UCL), and breach of contract.
−Removed: The Company filed a demurrer seeking dismissal of all claims, which was heard by the Court on October 27, 2020, and which resulted in the following outcome:
−Removed: (i) the demurrer to the CMIA claim was denied;
−Removed: (ii) the demurrer to the CCPA claim was sustained;
−Removed: and (iii) the demurrer to the UCL and contract claims were sustained with leave to amend the pending complaint.
−Removed: A second demurrer was heard by the Court on March 29, 2021 with the following outcome:
−Removed: (i) the demurrer to the CMIA claim was denied;
−Removed: and (ii) the demurrer to the UCL and contract claims was sustained without leave to amend as to three of the named plaintiffs.
−Removed: The plaintiffs filed a motion for class certification on January 7, 2021 and the Company filed a motion for summary adjudication on the CMIA claim on April 7, 2022.
−Removed: Both motions are fully briefed.
−Removed: The Company anticipates the Court will hear argument on both motions in the fourth quarter of 2022 or the first quarter of 2023.
−Removed: Although we intend to vigorously defend against these claims, there is no guarantee that we will prevail.
−Removed: Accordingly, we are unable to determine the ultimate outcome of these lawsuits or determine the amount or range of potential losses associated with the lawsuits.
−Removed: From time to time, we are involved in various other legal proceedings, regulatory matters, and other disputes or claims arising from or related to claims incident to the normal course of our business activities, including actions with respect to intellectual property, data privacy, employment, regulatory, product liability and contractual matters.
−Removed: Although the results of such legal proceedings and claims cannot be predicted with certainty, we believe we are not currently a party to any legal proceeding(s) which, if determined adversely to us, would, individually or taken together, have a material adverse effect on our business, operating results, financial condition or cash flows.
−Removed: However, regardless of the merit of the claims raised or the outcome, legal proceedings may have an adverse impact on us as a result of defense and settlement costs, diversion of management time and resources, and other factors.
+Added: Except as set forth above under the caption “Commitments and Contingencies - Legal and Regulatory Matters” in Part I, Notes to Unaudited Condensed Consolidated Financial Statements, Subsection 13 of this Quarterly Report, as of March 31, 2023, we do not believe we are currently a party to any legal proceedings, regulatory matters, or other disputes or claims which, if determined adversely to us, would, individually or taken together, have a material adverse effect on our business, financial condition, operating results, liquidity or future prospects.
+Added: However, regardless of the merits of the claims raised or the outcome, legal proceedings, regulatory matters, and other disputes and claims may have an adverse impact on the Company as a result of defense and settlement costs, diversion of management time and resources, and other factors.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.