Federal Court again rules in favor of Teladoc, denying Texas Medical Board motion to dismiss lawsuit

Teladoc continues to champion access to safe, affordable health care via telehealth to millions across the state 

Lewisville, Texas  (Dec. 15, 2015) – On Monday, December 14, Judge Robert Pitman, U.S. District Court for the Western District of Texas, denied the Texas Medical Board’s (TMB) motion to dismiss a federal lawsuit filed by Teladoc (NYSE: TDOC), the nation’s first and largest telehealth platform in the United States. The decision marks the seventh occasion in the last four years that various Texas courts have sided with Teladoc against the Texas Medical Board’s repeated attempts to limit access to affordable, quality health care in the state.

In May, Judge Pitman blocked a TMB rule that would have prevented Teladoc from offering its services in Texas, and stated that Teladoc was likely to prevail in its argument that the rule is illegal under federal antitrust laws.

This week’s District Court ruling addresses and rejects each argument raised by the TMB, including its attacks on Teladoc’s antitrust and Constitutional challenges to multiple TMB rules. In each instance, Judge Pitman disagreed with the TMB’s arguments and denied the TMB’s request to dismiss all or any part of Teladoc’s case.

“We are very pleased with the court’s decision and the growing wave of support of telehealth” said Jason Gorevic, chief executive officer, Teladoc. “This ruling is only the latest in a string of legal victories for us in Texas, in federal and state courts. As a champion for patient access to affordable, high quality healthcare, we view this decision as a major victory for consumers. We’re also optimistic that this decision will lead the TMB to reconsider its attempts to block patient access to telehealth.”

Teladoc provides 24/7 access to the high-quality medical care via mobile devices, the internet, secure video and phone, and treats people experiencing non-emergency medical issues such as sinus problems, bronchitis and poison ivy. As the industry leader, Teladoc has safely delivered more than 1million remote visits to patients throughout the country. The company has been serving Texans for more than 10 years.

Mr. Gorevic added, “Patients, healthcare systems, and employers recognize the great value that telehealth brings to the people of Texas. We cannot stand by as leaders in the industry and do nothing when a small group of doctors attempts to block patients from accessible, affordable health care. It’s our job to stand-up for what is right for our clients, Texas-based employees, and members in need of remote care.”

About Teladoc Teladoc, Inc. (NYSE: TDOC) is the nation’s first and largest telehealth platform, delivering on-demand health care anytime, from almost anywhere via mobile devices, the internet, secure video and phone. More than 12.6 million U.S. members are connected to Teladoc’s network of over 2,650 board-certified, state-licensed physicians and behavioral health professionals who provide care for a wide range of non-emergency conditions. With a median response time of less than 10 minutes, Teladoc physicians will perform more than 550,000 telehealth visits in 2015. Teladoc and its physicians consistently earn a 95 percent member satisfaction rating or better, and Teladoc is the first telehealth company to be certified by the National Committee for Quality Assurance (NCQA) for its physician credentialing process.

Recognized in June 2015 by MIT Technology Review as one of “The 50 Smartest Companies,” Teladoc works with health plans, employers, organizations and individuals to provide access to affordable, high-quality healthcare on-demand.  Teladoc is transforming the access, cost and quality dynamics of healthcare delivery. For more information, please visit teladoc.com, twitter.com/teladoc, facebook.com/teladoc or linkedin.com/teladoc.

Cautionary Note Regarding Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “believe,” “project,” “estimate,” “expect,” “may,” “should,” “will” and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding future revenues, future earnings, future numbers of members or clients, litigation outcomes, regulatory developments, market developments, new products and growth strategies, and the effects of any of the foregoing on our future results of operations or financial conditions.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: (i) changes in laws and regulations applicable to our business model; (ii) changes in market conditions and receptivity to our services and offerings; (iii) results of litigation; (iv) the loss of one or more key clients; and (v) changes to our abilities to recruit and retain qualified providers into our network.  Additional relevant risks that may affect our results are described in certain of our filings with the Securities and Exchange Commission.

Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.


Media Contacts: Patty Sullivan 469.294.5096 pr@teladoc.com

Meredith Adams 972.741.7144 meredith.adams@fleishman.com