23andMe: Now Come the Trial Lawyer Sharks and the Tort Lottery Players

The genotype screening company 23andMe received a
largely
unwarranted nastygram last week from the regulators at the Food
and Drug Administration
ordering the company to stop marketing its Personal Genome
Service. Sensing blood in the water, it was only a matter of time
before the trial lawyer sharks began circling. And so now the San
Diego Ankcorn Law Firm has filed a class action suit on behalf of
new 23andMe customer Lisa Casey.

Ms. Casey just purchased the service in September and it already
disappointed to the tune of $5 million. The winnings would go to
her, other distressed customers, and, of course, to her
hard-working trial attorneys. Ms. Casey’s lawsuit specifically
cites the FDA warning letter in her complaint as evidence that the
company has falsely and misleadingly advertised its genotyping
services.

Just as background, a 2007 study by the Pacific Research
Institute estimated that our dysfunctional tort liability system
costs each family a “tort
tax” of nearly $10,000, totaling about $825 billion annually.
Between our regulators and our tort lawyers, it’s a wonder any new
products make it to market.

Go to
Gigaom to review a copy of the lawsuit.