Mayo Clinic is being sued by a former research director over allegations she was retaliated against—and ultimately terminated—for raising concerns over the Rochester, Minn.-based health system’s artificial intelligence practices.
The lawsuit was filed Monday in the U.S. District Court for the District of Minnesota by Traci Tamiko Eto, represented by HKM Employment Attorneys Artur Davis and Rebecca Rojas. It alleges that Mayo Clinic violated the retaliation provisions of the False Claims Act, the Americans with Disabilities Act (ADA) and the Family and Medical Leave Act.
Eto joined Mayo Clinic in December 2023 as director of research operations, according to the complaint. She was assigned leadership over the health system’s efforts to comply with a Biden administration-era executive order on AI security and privacy-based safeguards.
Over 18 months, the complaint alleges Eto discovered “a disturbing set of flaws in Mayo’s AI compass,” including patient privacy gaps, and “fundamental lapses,” including data manipulation to hide unfavorable outcomes and software deployment lacking proper oversight.
The complaint alleges Eto filed an internal report with the legal department in February 2025, which led to exclusion from projects and operational planning sessions and rollback of supervisory authority. Eto was placed on a performance improvement plan in April 2025, which the complaint says was on “cryptically phrased grounds that she was a poor cultural fit.”
Eto was informed that her position was being terminated as part of a restructuring in September 2025, upon returning from medical leave, according to the complaint. She was told she could apply for internal positions within a 90-day period and applied for 15 jobs—but only received one interview, the complaint alleges.
Eto was officially terminated Dec. 1. She filed a discrimination and retaliation charge with the Equal Employment Opportunity Commission (EEOC) on Feb. 22 and received a right-to-sue letter on April 17.
Eto is seeking a jury trial as well as other forms of relief, including back pay, front pay, lost benefits and compensatory and punitive damages under the ADA and False Claims Act.
“Mayo Clinic is committed to the responsible development and deployment of AI, with privacy, security, transparency and compliance embedded throughout our processes,” a Mayo Clinic spokesperson told Fierce Healthcare in a statement. “Our research and clinical innovation are conducted in accordance with applicable laws and regulations and we remain steadfast in upholding the trust patients place in us and respecting their privacy. Mayo Clinic does not comment on pending or active litigation.”