Injunction keeps ex-Cigna exec from joining CVS

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A federal judge in St. Louis has issued a preliminary injunction that effectively bars former Cigna executive Amy Bricker from working for CVS Health. Meanwhile, a lawsuit over her non-compete clause is set to move forward.

Judge Ronnie White of the U.S. District Court in the eastern district of Missouri said in the injunction that Bricker is barred from providing any services to CVS or any of its subsidiaries, and is also prohibited from working for any businesses that are engaged in any direct competition with Cigna. 

White also blocked her from disclosing any of Cigna's confidential information. The reasoning for his decision was included in a sealed opinion.

WHAT'S THE IMPACT

The legal drama began in January, when Cigna filed a lawsuit against Bricker and CVS Health. Bricker had served as head of Express Scripts, Cigna's pharmacy benefit manager subsidiary, and for a time was slated to join CVS Health as the chief product officer for its consumer segment.

The lawsuit alleged this violates Cigna's noncompete agreement, with the company saying it would be "immediately and irreparably harmed" if Bricker's was allowed to continue.

Cigna said that while most of the people who work for the company are not bound by noncompete agreements, there are 16 who are. Bricker, being one of the highest-paid employees at the company, was one of them.

Calling CVS Health its "chief competitor," Cigna maintained that Bricker would invariably be asked to reveal Cigna's "confidential" business information to the benefit of her new employer. This, said Cigna, is despite the fact that Bricker had recently accepted a large raise, and was allegedly aware of the noncompete agreement.

Another of Cigna's concerns revolves around Bricker's knowledge and contribution to business proposals when the insurer was competing with CVS over Centene's PBM contract. Previously, CVS had managed Centene's PBM contract, but Cigna secured that business in October 2022.

CVS had predicted the loss of that business would translate into a revenue decline in 2024 in the vicinity of $2 billion. Cigna said CVS' offer to Bricker was a "desperate effort" to retaliate for this loss of business.

CVS Health said it did not comment on ongoing legal matters.

THE LARGER TREND

A restraining order filed in a MIssouri district court in February temporarily blocked Bricker from beginning her new job at CVS Health. 

The lawsuit had been filed in late January in U.S. District Court in Missouri federal court. Cigna is demanding a jury trial.

CVS announced on January 23 that Bricker was named executive vice president and chief product officer – consumer, a newly created role.
 

Twitter: @JELagasse
Email the writer: Jeff.Lagasse@himssmedia.com