American Oncology Network, Inc. has been named in several lawsuits, including an active Fair Labor Standards Act collective action over unpaid overtime filed in Ohio in March 2025, a 2026 trade secrets dispute brought by McKesson Corporation that settled within two months, and two earlier employment discrimination suits that have since resolved. The overtime case is the only matter currently open, and eligible hourly healthcare employees can still opt in.
Scott v. American Oncology Partners: The Active Overtime Collective Action
In March 2025, Donna Scott and Tyler Washington sued American Oncology Partners, P.A. in the U.S. District Court for the Southern District of Ohio, alleging the company underpaid overtime to hourly, non-exempt healthcare employees.1PACER Monitor. Scott v. American Oncology Partners, P.A.
The complaint focuses on two pay practices. The company allegedly deducted short rest breaks of 20 minutes or fewer from employees’ recorded hours, reducing compensable time. It also allegedly left certain bonuses — performance, preceptor, retention, and sign-on — out of the regular rate of pay when calculating overtime, which the FLSA requires employers to include.1PACER Monitor. Scott v. American Oncology Partners, P.A.
Who Can Join and What’s at Stake
The eligible class covers hourly healthcare workers who experienced either or both practices during weeks they worked more than 40 hours, going back to October 23, 2022. Because this is an FLSA collective action rather than a class action, participation is not automatic. Workers must return a court-approved consent form to opt in. Consent-to-join forms were still being filed as recently as June 2026, so the group continues to expand.1PACER Monitor. Scott v. American Oncology Partners, P.A.
Workers who join and prevail could recover up to three years of unpaid overtime plus an equal amount in liquidated damages.
Current Status
In August 2025, Judge Michael H. Watson denied AON’s motion to dismiss as moot, letting the case go forward. AON has told the court it intends to pursue mediation toward a possible settlement. As of mid-2026, no resolution had been reached.1PACER Monitor. Scott v. American Oncology Partners, P.A.
McKesson v. Friedman: Trade Secrets Suit That Settled Fast
In early 2026, McKesson Corporation sued former senior executive Ella Friedman and American Oncology Network, Inc. in the U.S. District Court for the District of Colorado. The complaint was brought under the federal Defend Trade Secrets Act and sought an injunction to stop the alleged misappropriation of proprietary information.2PACER Monitor. McKesson Corporation v. Friedman et al
Pre-suit letters exchanged between McKesson and AON on March 6 and March 13, 2026, were attached as exhibits to the complaint. The parties resolved the dispute quickly, filing a joint stipulation of dismissal with prejudice on May 15, 2026. The terms were not disclosed.2PACER Monitor. McKesson Corporation v. Friedman et al
Cevallos v. American Oncology Network: Sex Discrimination (Settled)
Sarah Cevallos filed a Title VII sex discrimination suit against American Oncology Network, LLC in October 2021 in the U.S. District Court for the Middle District of Florida. The parties went to mediation on March 8, 2023, and reached a settlement whose terms were not disclosed. The court administratively closed the case and dismissed it with prejudice on May 19, 2023, after neither party moved to reopen it within the 60-day window.3CourtListener. Cevallos v. American Oncology Network, LLC
Gezahey v. Greater Washington Oncology Associates and AON: Wrongful Termination
Fesehatsion Gezahey, representing himself, sued Greater Washington Oncology Associates and American Oncology Network in 2022, alleging he was wrongfully terminated on August 11, 2021, because of his age (over 60), race (Black/Ethiopian), and national origin. The complaint described specific conduct by a manager named Jessica Crown, including mocking his accent, making ageist remarks, denying him an office key that white employees received, and discriminatory hiring preferences.4Midpage. Gezahey v. Greater Washington Oncology Associates
Gezahey filed an EEOC charge in December 2021 and received a right-to-sue letter in May 2022 before filing in D.C. Superior Court. The defendants removed the case to the U.S. District Court for the District of Columbia and moved to dismiss. In February 2023, the court denied both the motion to dismiss and a motion for a more definite statement, finding the complaint met the plausibility standard for discriminatory termination and that the EEOC charge had given adequate notice.4Midpage. Gezahey v. Greater Washington Oncology Associates
Corporate Context: SPAC Merger and Nasdaq Delisting
AON began operations in September 2018 and grew to 107 physicians across 24 practices in 71 locations spanning 18 states, with over $1 billion in annual revenue by late 2022.5American Oncology Network. American Oncology Network to Go Public Through Business Combination With Digital Transformation Opportunities Corp On September 20, 2023, it went public through a business combination with Digital Transformation Opportunities Corp., a SPAC, and began trading on Nasdaq under the ticker AONC the next day. The transaction valued AON at roughly $500 million.6American Oncology Network. American Oncology Network, Digital Transformation Opportunities Announce Completion of Business Combination
The listing was short. In May 2024, a special committee of the board decided to voluntarily delist. The company cited the absence of an active trading market, no analyst coverage, and the cost burden of maintaining a public listing. The last expected Nasdaq trading day was around June 7, 2024, after which AON’s securities were expected to be quoted on the OTC Markets. Significant equityholders agreed that any future acquisitions of outstanding equity would occur at a premium to the pre-delisting trading price, a protection for minority investors.7American Oncology Network. AON Voluntary Delisting Announcement
The delisting was not tied to the lawsuits described above, and none of the suits alleges securities fraud or shareholder harm.