Judge Keeps Core Claims Alive in Outlier Drug Executives Suit Over “Smart Drugs”

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Judge Splits the Ruling, Keeps the Case Alive

While Judge Cartwright found no direct evidence tying Freed and Rubin to the formulation or labeling decisions, she held that LeDoux’s claims against Outliers itself were sufficiently pled under both the Washington Consumer Protection Act (CPA) and the Washington Product Liability Act (WPLA).

The Outliers defense team had argued that the CPA claims should be dismissed because they were “personal injury” rather than “property injury” claims. But the court disagreed, noting that LeDoux’s CPA allegations involve economic harm — money spent under false advertising — separate from her physical injury claims.

“That some factual overlap exists between plaintiff’s WPLA and CPA claims does not doom the latter,” Judge Cartwright wrote, emphasizing that LeDoux’s financial losses from purchasing the products were distinct from her personal injuries.

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The ruling also rejected the defendants’ argument that fraud and misrepresentation claims could not be brought under the WPLA, holding that LeDoux’s pleadings met federal standards.