Baxter International, Inc. (BAX) Securities Class Action Lawsuit Filed [October 23, 2025]

Introduction to Baxter International, Inc. (BAX) Securities Class Action Lawsuit

A securities fraud class action has been filed against Baxter International, Inc. (NYSE: BAX) on behalf of investors who purchased Baxter common stock between February 23, 2022 and July 30, 2025, inclusive. Investors allege the company and its senior executives misrepresented the safety, performance, and rollout of the Novum large volume infusion pump (LVP), despite systemic defects that caused underinfusion, overinfusion, and complete non-delivery of fluids. According to the complaint, concerns later surfaced through a whistleblower report, customer warning letters acknowledging injuries and deaths, and an abrupt suspension of all new Novum LVP sales. On the last disclosure, Baxter's stock fell sharply, closing down 22.4 percent at $21.76 on July 31, 2025. The lawsuit seeks to recover losses allegedly caused by these revelations.

Baxter International, Inc. (BAX) Securities Lawsuit Case Details

Case Name: Electrical Workers Pension Fund, Local 103, I.B.E.W. v. Baxter International, Inc., et al.
Case No.: 1:25-cv-12672
Jurisdiction: U.S. District Court, Northern District of Illinois, Eastern Division
Filed on: October 16, 2025

Baxter International, Inc. (BAX) Company Profile

Baxter is a global, diversified healthcare company that develops, manufactures, and markets products used by hospitals, clinics, dialysis centers, nursing homes, rehabilitation centers, doctors' offices, research laboratories, and patients in their homes. Its Medical Products & Therapies segment includes sales of sterile IV solutions, infusion systems, administration sets, parenteral nutrition therapies, and surgical hemostat, sealant, and adhesion prevention products.

Baxter International, Inc. (BAX) Securities Lawsuit Class Period

February 23, 2022–July 30, 2025, inclusive.

All persons and entities that purchased or otherwise acquired Baxter common stock during the Class Period may be eligible to join the Baxter International, Inc. (BAX) class action lawsuit.

Allegations in the Baxter International, Inc. (BAX) Securities Class Action Lawsuit

The complaint names Baxter International, Inc., along with executives Jose E. Almeida, Brent Shafer, Joel T. Grade, James K. Saccaro, Brian Stevens, Heather Knight, and Clare Trachtman. Investors allege these defendants told the market that the Novum LVP was safe, leading-edge, and well-received by customers during the class period, while omitting that the device suffered systemic defects that exposed patients to risks of serious injury or death.

Early in the class period, on February 23, 2022, then-CFO James K. Saccaro and VP of Investor Relations Clare Trachtman highlighted the Novum pump's medication safety features and "simple and easy" interface at a Citi research conference, and Saccaro called Novum a coming "landmark achievement" for Baxter. On April 28, 2022, CEO Jose E. Almeida told investors he was "confident in our leading-edge Novum IQ technology" on the Q1 2022 call. The following month, on May 25, 2022, Heather Knight told an investor audience that customer feedback on the platform was "great," citing use in Canada.

As time went on, executives continued to reinforce that message. On February 29, 2024, Trachtman said that issues identified in the Canadian launch had been shared with the FDA and "we were able to address all of those issues[.]" On November 8, 2024, Almeida said the Novum update was "going extremely well," touting 2% to 2.5% market share gains by year-end and calling it one of the best launches of his career. On June 10, 2025, CFO Joel T. Grade stated at a Goldman Sachs conference that the launch had gone "really well," the product was "performing really well," and an upgrade cycle was driving customer conversations.

Meanwhile, the complaint asserts that the Novum LVP suffered systemic defects causing underinfusion, overinfusion, and complete non-delivery, and that Baxter had been notified of multiple malfunctions, injuries, and deaths. It alleges Baxter's customer alerts were inadequate while design issues persisted, creating a heightened risk that customers would be told to remove devices from service and that Baxter would pause all new Novum LVP sales. Based on these conditions, investors allege the company's statements about safety, efficacy, rollout, customer feedback, and sales prospects were materially false and misleading.

The Truth Emerges

According to the complaint, the truth began to surface on April 7, 2025, when a news report relayed a whistleblower's warnings from BJC Health System about inaccurate infusion rates with the Novum LVP. On April 24, 2025, a customer warning letter disclosed an underinfusion risk and reported one serious injury tied to the issue. The narrative escalated on July 14, 2025, when Baxter issued a second customer warning letter revealing 79 reports of serious injury and two reports of patient deaths related to the Novum LVP.

Finally, on July 31, 2025, Baxter announced the suspension of all new Novum LVP sales. That same day, Chief Operating Officer Heather Knight admitted the abrupt halt was prompted by "issues we saw through our quality listening systems, customer feedback, and honestly our infusion data." These disclosures directly contradicted prior assurances about product safety, performance, and the strength of the launch.

Market Reaction

Investors reacted swiftly to the July 31, 2025 announcement suspending all new Novum LVP sales. On this news, Baxter's stock fell by 22.4%, to close at $21.76 the same day.

The complaint alleges that these losses reflect the market's reassessment of Baxter's earlier statements in light of the whistleblower report, the customer warning letters detailing injuries and deaths, and the sudden sales suspension.

Next Steps

• Submissions for lead plaintiff are due December 15, 2025. 
• The Court will issue its order for lead plaintiff and counsel in the weeks after submissions are due.
• The Court will then consider motion for class certification.
• The Court will later consider a Motion to Dismiss.

To learn if you are eligible for recovery under the BAX securities class action lawsuit, visit the case submission page here.

Disclaimer: This shareholder alert is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for personalized guidance. No specific outcomes are guaranteed.