Haywood v. Novartis Pharm. Corp.
Decision Date | 16 January 2018 |
Docket Number | No. 2:15–CV–373,2:15–CV–373 |
Citation | 298 F.Supp.3d 1180 |
Parties | Michelle HAYWOOD, Plaintiff, v. NOVARTIS PHARMACEUTICALS CORP., Defendant. |
Court | U.S. District Court — Northern District of Indiana |
Tony Walker, The Walker Law Group PC, Gary, IN, for Plaintiff.
Ellen E. Boshkoff, Angela N. Johnson, Faegre Baker Daniels LLP, Indianapolis, IN, for Defendant.
This matter is before the Court on the Defendant’s Motion to Dismiss Plaintiff’s First Amended Complaint, filed by the defendant, Novartis Pharmaceuticals Corporation, on December 27, 2016. (DE # 35.) For the reasons set forth below, the motion to dismiss is GRANTED . The clerk is DIRECTED to close this case.
Plaintiff, Michelle Haywood ("Haywood"), filed her complaint in state court on August 13, 2015. (DE # 4.) The complaint brought claims for negligence, negligent training and supervision, and public disclosure of private facts; it also listed "punitive damages" as a separate count. (Id. ) The defendant, Novartis Pharmaceuticals Corporation ("Novartis"), removed the matter to this Court on the basis of diversity jurisdiction on September 28, 2015. (DE # 1.) On November 2, 2015, Novartis filed a motion to dismiss the complaint. (DE # 14.) On September 27, 2016, the Court granted the motion, dismissed the complaint without prejudice, and granted Haywood thirty days to file an amended complaint. (DE # 28.) The first amended complaint was filed by Haywood on October 25, 2016. (DE # 30.) In Count one of her complaint, Haywood alleges that Novartis acted negligently when it disclosed personal information to her co-workers and supervisors via facsimile transmission which violated duties it owed to her under its privacy policy, under Indiana Code 25–26–13–15(b), and under the Health Insurance Portability and Accountability Act ("HIPPA"). In Count Two, Haywood alleges that Novartis was negligent in its training and supervision of its employees regarding the protection of customer privacy and confidentiality. Finally, in Count Three, Haywood alleges that she is entitled to punitive damages because Novartis acted with reckless indifference when it disclosed her protected information despite being told, in writing, not to do so. Novartis filed the instant motion to dismiss on December 27, 2016. (DE # 35.) Haywood filed her response on January 9, 2017. (DE # 37.) Novartis filed its reply on January 17, 2017. (DE # 38.) The motion is ripe for adjudication.
Novartis Patient Assistance NOW Oncology, a division of Novartis, administers the GLEEVEC Co-Pay Assistance Program (the "Program") in which eligible patients are given a GLEEVEC Co-Pay Card by Novartis to help offset the costs of their prescription medication. (DE # 30, p. 1.) Haywood applied for the Program, and on May 19, 2015, she sent Novartis a written statement requesting that no information regarding her application be sent to her place of employment. (Id. at 2.) On July 8, 2015, Novartis disclosed the following via facsimile transmission to Haywood’s co-workers and supervisors: her social security number, her date of birth, her income, her Medicare number, and information about her disease, treatment, and medical providers. (Id. )
According to the amended complaint, the website for the Program includes a privacy notice that states:
("Privacy Notice"). (Id. at 3.) Additionally, the amended complaint cites to the following privacy statement1 that was found on the main Novartis website:
("Privacy Statement"). (Id. at 3–4) (footnote omitted.) Haywood alleges that, when it disclosed her personal information to her co-workers and supervisors via facsimile, Novartis breached duties owed to her under the Privacy Notice and Privacy Statement, under Indiana Code 25–26–13–15(b), and under HIPPA. (Id. at 3–5.)
In evaluating a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), a court must accept all facts alleged in the complaint as true and draw all reasonable inferences in the light most favorable to the plaintiff. Johnson v. Rivera , 272 F.3d 519, 520 (7th Cir. 2001). A complaint is not required to contain detailed factual allegations; however, the plaintiff must allege facts that state a claim to relief that is plausible on its face. Ashcroft v. Iqbal , 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009). It is not enough that there might be some conceivable set of facts that entitle the plaintiff to relief.
Bell Atlantic Corp. v. Twombly , 550 U.S. 544, 553–56, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). The plaintiff’s obligation "requires more than labels and conclusions...." Id. at 555, 127 S.Ct. 1955. The Supreme Court has provided that "[t]hreadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice." Iqbal , 556 U.S. at 678, 129 S.Ct. 1937.
Novartis argues that Counts One and Two fail as a matter of law because Haywood has not properly alleged that Novartis owed her a legal duty or that any such duty, even if it existed, was breached. In response, Haywood asserts that Novartis owed her "multiple duties" based on its own policies, based on Indiana statutory law, and based on HIPPA.
In Indiana, "the tort of negligence is comprised of three elements: (1) a duty on the part of defendant in relation to the plaintiff; (2) the defendant’s breach of that duty; and (3) an injury to the plaintiff resulting from that failure." Kolozsvari v. Doe , 943 N.E.2d 823, 826–27 (Ind. Ct. App. 2011) (citing Miller v. Griesel , 261 Ind. 604, 308 N.E.2d 701, 706 (1974) ). "A duty to exercise care arises as a matter of law out of some relation existing between the parties, and it is the province of the court to determine whether such a relation gives rise to such duty." Id. at 827 (internal quotation marks and citation omitted). "Absent a...
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