Issue link: https://beckershealthcare.uberflip.com/i/1456545
32 DEVICES & IMPLANTS Medtronic accused of stealing Globus Medical's sales team, customers By Alan Condon G lobus Medical has accused Medtron- ic of recruiting its San Antonio sales team to steal customers from the company and strengthen its position in the spine market. Defendants in the lawsuit, filed Jan. 28 in the U.S. District Court for the Eastern District of Pennsylvania, include former Globus Med- ical sales executives Andrew Miller, Brooke Stephens and Hunter Bailey — all of whom are now employed by Medtronic and reside in San Antonio. Edward Sharp, a former spine territory manager of Globus Medical, and Medtronic are also named as defendants. Globus Medical alleged that Medtronic "in- duced [Mr. Sharp] with huge financial incen- tives to solicit his San Antonio sales team and convert his Globus customers" and claims that four former employees are "carrying out a long-planned conspiracy to illegally steal Globus' business for themselves," according to court documents. In addition, Globus alleged that the scheme was devised while Mr. Sharp, Mr. Bailey and Ms. Stephens were still working for the com- pany, using its financial resources, confiden- tial information, employment and business relationships to steal Globus' customers and employees for Medtronic. Globus said it requires sales employees to sign a noncompete and nondisclosure agree- ment when hired. Aer the company termi- nated the employment of Mr. Sharp, it said he joined Medtronic and recruited another sales manager to quit and bring other employees and customers to Medtronic. Since the four sales reps le Globus, the com- pany said five customers — surgeons whose business totaled more than $2.5 million in 2021 — stopped using Globus' products and ceased communications with the company, according to the complaint. In the lawsuit, Globus said it expects more surgeons to fol- low suit because of the alleged scheme. "[Medtronic] believes its conduct has been proper and will defend itself vigorously against these claims," a company spokesper- son said in a statement to Becker's Spine Re- view. "Medtronic remains committed to fair competition and employment practices that comply with the law and enable the compa- ny to attract and retain a best-in-class, highly talented and innovative workforce." Globus' allegations against its former sales reps and Medtronic include breach of con- tract, breach of duty of loyalty, tortious inter- ference, unfair competition and civil conspir- acy. e company is seeking compensation to be determined at a jury trial. n Augmedics names new CEO By Carly Behm A ugmedics, which develops the Xvision augmented reality surgi- cal system, named Kevin Hykes president and CEO. Mr. Hykes has 30 years of experience in the medical device industry, according to a Jan. 18 news release. His past experi- ence includes roles at Medtronic, Olym- pus, Boston Scientific and Metavention, according to his LinkedIn profile. "I am excited to lead the company into this next era as we continue to funda- mentally disrupt the way that surgery is practiced with the groundbreaking Xvi- sion system," Mr. Hykes said in a news release. Mr. Hyke's appointment follows the ap- pointment of CFO Raj Asarpota and the company's $36 million series C funding. n 'Trend toward the future': Spine robot installed at Louisiana hospital By Alan Condon C hristus Ochsner St. Patrick Hospital in Lake Charles, La., said it be- came the first hospital in Southwest Louisiana to install ExcelsiusGPS, a robot designed to assist surgeons in spine procedures, NBC affili- ate KPLC reported Jan. 31. Globus Medical launched the robot four years ago to assist surgeons with the placement of pedicle screws, improve preoperative planning and boost operating room efficiency. The robot provides surgeons with 3D scans of a patient's anatomy before surgery, which the surgeon then follows intraoperatively. It also eliminates the use of radiation imaging during surgery, making it safer for the surgeon, operating room staff and patient. ExcelsiusGPS allows for the more precise placement of pedicle screws and more reproducible surgeries, according to the company. "We're able to provide better outcomes, with less operative time, and a shorter recovery period," Erich Wolf, MD, PhD, a neurosurgeon at St. Patrick, told KPLC. Surgeons still control the robot, but Dr. Wolf hinted that may not always be the case. "I think probably one day I'll be obsolete," Dr. Wolf said. "I think it's really the trend toward the future." n