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Class action lawsuits

Baxter International Inc. Sued for Securities Fraud

Strategic Insights

— 2 min read

Baxter International Inc., a leading manufacturer of medical devices, including the Novum IQ Large Volume pump, has been hit with a class action lawsuit for securities fraud. The lawsuit alleges that the company misled investors about the safety features and performance of the Novum LVP, a medical device that delivers medications, blood products, and nutrients to patients. The suit claims that the device suffered from systemic defects, causing malfunctions such as under-infusion, over-infusion, and non-delivery of fluids, which put patient safety at risk and resulted in significant injuries and fatalities. As a result of the revelations, the price of Baxter stock plummeted, causing significant financial losses for investors.

Key Takeaways:

  • Baxter International Inc. has been sued for securities fraud by a class action lawsuit filed by Bleichmar Fonti & Auld LLP.
  • The lawsuit alleges that the company misled investors about the safety features and performance of the Novum IQ Large Volume pump, a medical device that delivers medications, blood products, and nutrients to patients.
  • The device suffered from systemic defects, causing malfunctions such as under-infusion, over-infusion, and non-delivery of fluids, which put patient safety at risk and resulted in significant injuries and fatalities.
  • The stock price of Baxter International Inc. dropped by 22% after the company announced that it would pause shipments and installations of the Novum LVP.
  • Investors who suffered financial losses have until December 15, 2025, to ask the Court to be appointed to lead the case.
  • Bleichmar Fonti & Auld LLP is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation.

Statistics:

  • The stock price of Baxter International Inc. dropped by $6.29 per share, or 22%, on July 31, 2025, after the company announced that it would pause shipments and installations of the Novum LVP.
  • The Novum IQ Large Volume pump was launched in Canada in 2020, while its application for FDA approval in the U.S. was pending.
  • The lawsuit alleges that the device suffered from systemic defects, causing malfunctions that put patient safety at risk and resulted in significant injuries and fatalities.
  • Baxter International Inc. told investors that the Novum LVP had "the most advanced safety features that are available," and that the rollout in Canada provided "a lot of opportunity to just work out any last kind of bugs and kinks."

Sources:

  • Bleichmar Fonti & Auld LLP
  • "Baxter International Inc. Class Action Lawsuit", filed on August 1, 2025, in the U.S. District Court for the Northern District of Illinois.
  • "Electrical Workers Pension Fund, Local 103, I.B.E.W. v. Baxter International Inc., et al.", No. 1:25-cv-12672.

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