• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechTheranos

Walgreens Sues Theranos for $140 Million for Breach of Contract

By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
November 8, 2016, 6:44 PM ET
Inside A Walgreens Boots Alliance Location Ahead Of Earnings Figures
Pedestrians pass in front of a Walgreens Boots Alliance Inc. store in downtown Chicago, Illinois, U.S., on Tuesday, Oct. 18, 2016. Walgreens Boots Alliance Inc. is scheduled to release earnings figures on October 20. Photographer: Christopher Dilts/Bloomberg via Getty ImagesChristopher Dilts — Bloomberg via Getty Images

Walgreens has filed a $140 million lawsuit against blood-testing company Theranos, a former business partner.

In the complaint filed on Tuesday in the District Court of Delaware, Walgreens alleges that Theranos has breached a contract, but details are scarce as the retailer has gotten the complaint sealed due to non-disclosure agreements, according to media reports. A Walgreens’ spokesman confirmed to Fortune that the company has filed the lawsuit but declined to share more details.

Theranos and Walgreens first teamed up in 2010, and opened Theranos “Wellness Centers” in 40 locations where they offered blood-tests to patients. Theranos, founded in 2003 by Elizabeth Holmes, set out to develop technology that would allow for blood tests to be performed with just a few drops of blood from a finger prick.

Get Data Sheet, Fortune’s technology newsletter.

In the past year, however, a series of reports from the Wall Street Journal raised questions about the technology and its accuracy. Since then, Theranos has found itself at the receiving end of multiple lawsuits and government investigations. The Center for Medicare and Medicaid Services also banned Holmes from operating a lab for two years, and in June, Walgreens severed its ties with the company.

Walgreens’ lawsuit reportedly claims that it was misled by Theranos over the state of its blood-testing technology when the companies first struck a deal and even as its technology was beginning to be challenged, according to the Wall Street Journal, citing anonymous sources. Walgreens invested $140 million in Theranos in the form of debt convertible to equity, which is the amount it seeks to recover in the lawsuit.

For more on Theranos, watch this Fortune video:

“We are disappointed that Walgreens filed this lawsuit. Over the years, Walgreens consistently failed to meet its commitments to Theranos,” the company said in a statement published on its website. “Through its mishandling of our partnership and now this lawsuit, Walgreens has caused Theranos and its investors significant harm. We will respond vigorously to Walgreens’ unfounded allegations, and will seek to hold Walgreens responsible for the damage it has caused to Theranos and its investors.”

Last month, Theranos announced it was closing down its its labs and “Wellness Centers,” and shifting its efforts onto its “minilab,” a device for blood-testing it intends to sell to clinics. It laid off 340 employees, or nearly half of the 790 employees it had as of August.

About the Author
By Kia Kokalitcheva
See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

farley
Future of WorkInfrastructure
Ford CEO Jim Farley says America is sleepwalking past its ‘essential economy’ crisis. Goldman Sachs just showed how big it really is
By Nick LichtenbergApril 2, 2026
36 minutes ago
Nima Ghamsari smiles
NewslettersTerm Sheet
Blend’s post-IPO reset: CEO Nima Ghamsari bets that AI can turn it all around
By Lily Mae LazarusApril 2, 2026
2 hours ago
Photo: President Trump
Big TechMarkets
Trump hails ‘tremendous progress’ in Iran but all Wall Street heard was ‘back to escalation’
By Jim EdwardsApril 2, 2026
2 hours ago
Can Elon Musk take SpaceX IPO to infinity and beyond?
NewslettersFortune Tech
Can Elon Musk take SpaceX IPO to infinity and beyond?
By Alexei OreskovicApril 2, 2026
2 hours ago
Asia’s AI playbook gets a reality check as the Iran war sends energy prices higher and snarls supply chains
AsiaTech
Asia’s AI playbook gets a reality check as the Iran war sends energy prices higher and snarls supply chains
By Angelica AngApril 2, 2026
3 hours ago
The tax escape map: Billionaires are bolting for Florida from the West Coast and taking billions in tax revenue with them
Real EstateBillionaires
The tax escape map: Billionaires are bolting for Florida from the West Coast and taking billions in tax revenue with them
By Marco Quiroz-GutierrezApril 2, 2026
6 hours ago

Most Popular

Two-thirds of parents say their adult Gen Z kids still rely on them financially  for support—even though it's putting them under strain
Success
Two-thirds of parents say their adult Gen Z kids still rely on them financially  for support—even though it's putting them under strain
By Fortune EditorsMarch 31, 2026
2 days ago
Current price of gold as of April 1, 2026
Personal Finance
Current price of gold as of April 1, 2026
By Fortune EditorsApril 1, 2026
24 hours ago
Gen Z fled San Francisco for Texas and Florida. Now they're turning 'welcomer cities' into the next big tech towns
Real Estate
Gen Z fled San Francisco for Texas and Florida. Now they're turning 'welcomer cities' into the next big tech towns
By Fortune EditorsApril 2, 2026
5 hours ago
Jerome Powell says the $39 trillion national debt is ‘not unsustainable,’ but warns the trajectory ‘will not end well’
Economy
Jerome Powell says the $39 trillion national debt is ‘not unsustainable,’ but warns the trajectory ‘will not end well’
By Fortune EditorsMarch 30, 2026
3 days ago
Current price of oil as of April 1, 2026
Personal Finance
Current price of oil as of April 1, 2026
By Fortune EditorsApril 1, 2026
1 day ago
Hiring just hit a level not seen since the economy was ‘closed down literally’ during COVID, top economist says
Economy
Hiring just hit a level not seen since the economy was ‘closed down literally’ during COVID, top economist says
By Fortune EditorsMarch 31, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.