Court says blood storage claims don't strike wrong cord.

A Fullerton attorney who claims parents have been misled by businesses that store blood from umbilical cords as a potential source of cures to future illnesses is appealing his courtroom loss.

Kenneth Worth, who filed the suit on behalf of the public, has asked the 4th Appellate District to reverse an Orange County Superior Court ruling throwing out his suit against eight private companies, including two in Los Angeles.

"They tell you to store your child's cord blood because if he gets sick, he could use the stored blood stem cells and there wouldn't be a need for a search for a bone marrow donor," Worth said.

He claims Los Angeles-based Cord Partners, California Cryobank Stem Cell Services Inc. of Santa Monica and six other businesses have made millions of dollars from California consumers by falsely stating the stored blood may be parents' "once in a lifetime" chance to treat certain blood and metabolic disorders, bone marrow disease and immune systems affected by chemotherapy.

Worth claims the companies fail to mention that cord blood often contains the diseases if they are genetic.

In his suit, Worth demands the banks withdraw their marketing claims and refund parents who purchased thousands of dollars in storage fees. Cord Partners, a unit of L.A.-based Cord Blood America Inc., filed a motion to throw out the case based on the state's Strategic Lawsuit Against Public Participation, or anti-SLAPP, statute.

In its filings, the company admitted uncertainty in the effectiveness of cord blood cells on an individual's family members but argued that Worth's case has little to do with its business practices.

David Shaub, a partner at Shaub Williams & Nunziato LLP representing Cord Partners, said the suit "raises a fundamental difference of opinion as to whether it's more beneficial for the public to have public blood banks for stem cells, or whether people can donate their cord blood to a private bank."

In its motion, Cord Partners said, "Worth is attempting to take part in a debate as to the usefulness of cord blood by filing a lawsuit to silence all those who do not agree with him. Nowhere does Worth complain that Cord Partners is falsely advertising the service it provides."

An Orange County Superior Court judge agreed with Cord Partners in a ruling issued last month and threw out the case. Worth said the ruling was based on a "hyper-technical argument," and appealed on Dec. 6.

Proskauer Pick

Proskauer Rose LLP has lured Neil Cummings, a Latham & Watkins LLP partner, to head the lending and mezzanine finance practice of its Los Angeles office.

Staff reporter Amanda Bronstad can be reached at [phone], ext. 225, or at [e-mail].