Class Action Lawsuit Claims CareCentrix, DJO Bill Patients for Fraudulent Medical Device Charges

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A proposed class action lawsuit claims that CareCentrix and DJO Global have fraudulently abused the United States healthcare system by overcharging unsuspecting consumers for necessary medical devices.

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According to the 13-page lawsuit, medical device manufacturer DJO and provider CareCentrix have reaped millions per year by inflating patients’ medical bills, concealing “kickback arrangements,” and continuing to collect money from patients after a medical equipment supplier has already been paid in full.

The complaint alleges that the scheme begins when a patient is prescribed a DJO-made piece of durable medical equipment, like a rollator or brace. In this process, the suit says, the patient agrees to pay out-of-pocket for whatever part of the expense their insurance does not cover. The consumer is not informed of CareCentrix’s involvement in any capacity, the case mentions.

The class action lawsuit notes that DJO’s prices are already several times higher than the retail prices for comparable items and equipment produced by reputable competitors, which the suit claims is the first stage of DJO’s money-draining scheme.

The complaint goes on to allege that after DJO has been paid in full by a consumer’s insurer and has officially closed its case file, the payment made by the patient’s insurance company is not directly transferred to DJO. Instead, the filing says, it is first sent to CareCentrix, which keeps a portion of the payment before sending the rest to DJO.

Despite the allegedly exorbitant payments already made to both parties, one of whom the lawsuit claims is never disclosed to the patient and with whom the patient often has no relationship, the complaint says that CareCentrix then goes on to bill the patient for various other amounts, including any deductibles.

In this process of “manufactured confusion,” the suit says, DJO and CareCentrix enable themselves to charge multiple of the retail cost of necessary medical devices for hundreds, if not thousands, of patients.

“This conduct is not just dishonest—it is predatory,” the class action lawsuit scathes. “It erodes public trust in our healthcare system, exploits consumers during vulnerable moments and weaponizes the complexities of insurance and medical billing to extract maximum profit under the guise of legitimate care.”

The CareCentrix and DJO class action lawsuit seeks to represent anyone in Florida who was billed by CareCentrix for equipment or services, including those who had no prior relationship or contact with CareCentrix, within the applicable statute of limitations period.

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