Surgery center company Bay Area Surgical Management has sued Stericycle for misrepresentation of charges.
The management company alleges Stericycle increased monthly charges above a contract agreement by claiming they represented increases in the cost of doing business, while the cost of doing business remained the same, and Stericycle was simply collecting additional revenue. The company alleges the practice led to an increase of $500 million in Stericycle revenue in three years.
Bay Area Surgical Management seeks punitive and compensatory damages and a restraining order against Stericycle to prevent the company from practicing the alleged scheme on other healthcare providers, according to a release.
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