Johnson & Johnson to Offer $2.5 Billion Hip Device Settlement
By BARRY MEIER
Published: November 19, 2013
Lawyers for Johnson & Johnson and patients injured by a flawed hip implant were expected to introduce a multibillion-dollar plan Tuesday to settle thousands of lawsuits, but it was not clear whether the deal would satisfy enough claimants.
Under the agreement, according to people briefed on the plan, the medical products giant will pay some $2.475 billion in compensation to an estimated 8,000 patients who have been forced to have the all-metal artificial hip removed and replaced with another device.
Separately, the company has agreed to pay all medical costs related to such procedures, expenses that could raise the deal’s cost to Johnson & Johnson to some $3 billion, said those familiar with the proposal, who did not want to be identified.
The typical patient payment for pain and suffering caused by the device will be about $250,000 before legal fees, under the plan. Based on standard agreements, plaintiffs’ lawyers would receive about one-third of the overall payout, or more than $800 million, with those who negotiated the plan emerging as big winners.
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- Johnson and Johnson Agrees to Settlement To Reach as High as $4 Billion to Resolve Patient Lawsuits With Flawed Hip Replacement Devices (ducknetweb.blogspot.com)
- Johnson & Johnson Reaches $4 Billion Settlement Over Hip Implants (theatlanticwire.com)
- J&J Said to Reach $4 Billion Deal to Settle Hip Lawsuits (bloomberg.com)
- Johnson & Johnson to pay $4 billion settlement over metal-on-metal hip implants: Report (cbsnews.com)
- How Did This Company Lose Over $6 Billion in 2 Weeks? (fool.com)
- Gray and White Law Provides Expert Commentary on $4 Billion Expected Settlement in Johnson & Johnson DePuy ASR LawsuitsWhich Is Higher Than Previously Estimated (prweb.com)