The Dalles, Oregon — An Oregon veterinary hospital has filed a lawsuit against a New Jersey animal health technology company, claiming an artificial intelligence-powered diagnostic tool incorrectly identified a cancerous tumor, leading to additional surgery and the death of an 11-year-old dog.
The lawsuit raises broader questions about the growing use of AI in veterinary medicine and whether companies are accurately representing the capabilities of their diagnostic technology.
Veterinary Hospital Says AI Misidentified Cancer
According to court documents, Columbia Veterinary Hospital filed the lawsuit Thursday in Wasco County Court against Zoetis Inc., seeking at least $50,000 in damages.
The complaint states that veterinarians used the company’s VetScan Imagyst diagnostic system in October 2025 after an 11-year-old Belgian Tervuren was brought to the clinic with a rapidly growing mass on its neck.
The lawsuit alleges that while the AI software detected mast and spindle cell characteristics commonly associated with cancer, it ultimately classified the growth as an inflammatory lesion rather than a malignant tumor.
According to the hospital, veterinarians relied on that diagnosis when planning the dog’s treatment.
Second Examination Revealed Aggressive Cancer
Based on the AI-generated assessment, veterinarians surgically removed the mass.
However, the lawsuit states that subsequent laboratory testing by the Oregon State University Veterinary Diagnostic Lab determined that the growth was actually an aggressive cancerous tumor.
Because the first surgery allegedly did not remove all of the malignant tissue, the dog required a second, more invasive operation.
The complaint claims the dog later died from complications following that second surgery.
According to the lawsuit, the additional procedure would not have been necessary if the tumor had been correctly identified from the beginning.
Hospital Accuses Company of Misleading Marketing
The veterinary hospital alleges it purchased the VetScan Imagyst system in 2024 after believing the technology could provide expert-level diagnostic support.
According to the complaint, Zoetis promoted the product as “the world’s most capable veterinary AI analyzer” capable of accurately identifying specific forms of cancer.
The lawsuit claims those marketing statements were misleading because the company allegedly failed to disclose known limitations of the software.
The hospital is accusing Zoetis of fraud and deceptive business practices, arguing it relied on those representations when investing in the AI platform.
Lawsuit Claims Company Acknowledged Diagnostic Error
The complaint further alleges that after the hospital reported the misdiagnosis, Zoetis modified the original AI diagnostic report.
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According to the filing, company representatives later requested a conference call with the veterinary hospital.
During that discussion, the lawsuit alleges Zoetis representatives apologized for the error, accepted responsibility, and acknowledged that similar diagnostic mistakes had occurred with other customers using the VetScan Imagyst platform.
Those allegations have been made by the plaintiff in court filings and have not been proven in court.
Case Could Draw Attention to AI Use in Veterinary Medicine
The lawsuit is now expected to proceed through the Oregon court system, where the hospital will seek damages related to the alleged diagnostic failure and the dog’s death.
Zoetis has not been found liable, and the company will have an opportunity to respond to the allegations as the litigation moves forward.
The case may also draw wider attention to how artificial intelligence is being integrated into veterinary care, particularly when AI-generated recommendations influence critical medical decisions.
What are your thoughts on the growing role of AI in healthcare and veterinary medicine? Should AI tools be used only as support, or should professionals rely on them for major medical decisions? Share your opinion in the comments below.
