Legal News

$4.85 Billion Vioxx Settlement Moving Forward

By Dan Slater

Despite a controversial provision in the Merck-Vioxx settlement agreement, reports indicate that enough claimants have signed on to the $4.85 billion settlement to keep the deal moving forward. Click here for the WSJ’s story and here for the AP’s.

According to Merck, more than 44,000 of the 47,000 claimants who registered injuries eligible for compensation have submitted some or all of the documentation required to seek a share of the Vioxx settlement. Friday was the deadline for accepting the offer, and at least 85% of eligible claimants had to enroll to validate the deal. More than 93% have joined, though it isn’t yet clear how many meet the criteria. By March 31, claimaints (claims must be based on incidence of heart attack, ischemic stroke or sudden cardiac death) must provide medical records to determine what payment they qualify for. Settlement payments are expected to range from $50,000 to $1.5 million.

Back in November, Law Blog colleague Nathan Koppel reported on a disputed provision in the settlement agreement that aims to pressure as many people as possible to opt-in, and to keep lawyers from cherry-picking cases with the best odds of winning in court. The provision requires any lawyer who participates in the Vioxx settlement to recommend it to all his clients who qualify — and to take legal steps to drop any clients who decline. But in January, concerns over the provision were settled among the parties.

Full post as published by Law Blog - WSJ.com on March 04, 2008 (boomark / email).