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Pirelli Armstrong Tire Corporation v. Walgreencompany

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ARGUED SEPTEMBER 30, 2010

Before FLAUM, MANION, and TINDER, Circuit Judges.

The plaintiff in this case, Pirelli Armstrong Tire Corporation Retiree Medical Benefits Trust (“Pirelli”), initiated a putative class action under the Illinois Consumer Fraud and Deceptive Business Practices Act. For tax law purposes, Pirelli is a voluntary employees’ beneficiary association, a tax exempt trust that exists to provide specified benefits to members of its related association. For our purposes, however, Pirelli is a third-party payor (typically one’s insurance company) that pays pharmacies for the portion of a drug price that exceeds its members’ co-payments. Pirelli’s lawsuit maintains that the defendant, Walgreen Company (“Walgreens”), systematically took prescriptions that were written for cheap forms of two popular drugs and illegally filled the prescriptions with expensive forms. The district court granted Walgreens’ motion to dismiss, ruling that Pirelli failed to meet the heightened pleading standard of Federal Rule of Civil Procedure 9(b). We affirm the judgment of the district court.

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