Lawsuits cause J&J to open its checkbook

Share this article:

Johnson & Johnson is set to write out some checks: the Wall Street Journal reports that the company has agreed to pay at least $2.5 billion to settle lawsuits related to the Articular Surface Replacement hips made by subsidiary DePuy. Last week's rumors put the payout at around $4 billion.

The WSJ says the $2.5 billion would cover around 8,000 patients and would amount to around $250,000 in surgery costs, in addition to setting up a fund for what the Journal says qualify as extraordinary injuries, such as strokes, and heart attacks.

Bloomberg reported Monday that J&J is also shelling out $11 million in a lawsuit that says the company's seizure medication Topamax caused birth defects. Bloomberg notes that 133 similar cases are pending in Philadelphia. These lawsuits allege that the drugmaker failed to alert women to potential risks.

The FDA issued a notice in 2011 saying that it received data showing a correlation between the drug and children born with cleft palates.

Share this article:

Email Newsletters

More in Business Briefs

AstraZeneca takes on pediatricians

The American Academy of Pediatricians says an AstraZeneca drug for preemies should be used less often, and the drugmaker is fighting back with an ad campaign that says the new guidelines put too many at risk.

UK generic use soared in 2013

Generics made up almost 75% of prescriptions in the United Kingdom last year.

GSK refutes consumer spin-off rumor

The company refutes a Financial Times rumor that one was happening soonish.