As of August 7, 2017, Endo International has agreed to set aside an additional $775 million to resolve the company’s remaining mesh lawsuits’ allegations related to the Transvaginal Mesh (TVM) Multidistrict (MDL) Litigation pending in the U.S. district Court of West Virginia. These claims involve Endo’s vaginal-mesh implants that allegedly eroded in some women, leaving […]
As of August 7, 2017, Endo International has agreed to set aside an additional $775 million to resolve the company’s remaining mesh lawsuits’ allegations related to the Transvaginal Mesh (TVM) Multidistrict (MDL) Litigation pending in the U.S. district Court of West Virginia. These claims involve Endo’s vaginal-mesh implants that allegedly eroded in some women, leaving them incontinent and in pain.
The agreement to fund settlement of the remaining 22,000 mesh suits notes the company has now set aside over $2.6 billion to finalize the litigation claims related to the American Medical Systems (AMS) faulty medical devices, according to document filed with the U.S. Securities and Exchange Commission (SEC). American Medical Systems, a subsidiary of Endo was sold to Boston Scientific in 2015.
Number of Complaints Skyrocket
This occurs one year after Dublin-based Endo shuttered one of its units that makes mesh implants, used to support prolapsed internal organs or treat incontinence, after being hit with thousands of complaints over the devices.
“We believe it is a very important milestone for Endo to have reached agreements to resolve virtually all known U.S. mesh product liability claims,” said Paul Campanelli, Endo’s president and chief executive officer, in a statement.
The national personal injury law firm Parker Waichman LLP has extensive experience in medical device litigation. Attorneys at the firm are available to answer any questions about filing a mesh lawsuit.
Johnson & Johnson and Boston Scientific Face Claims
Johnson & Johnson (J&J) and Boston Scientific Corp., are among other mesh-insert manufacturers that still face thousands of complaints in the United States and worldwide from woman who blame the mesh devices for injuring them. Over 100,000 transvaginal mesh lawsuits have been filed, making it one of the largest mass torts in history. Approximately 75 percent of mesh lawsuits are consolidated in West Virginia federal court through seven MDL cases. The rest are in state courts, including those in Pennsylvania and West Virginia.
Based in New Brunswick, New Jersey, J&J said in SEC filings in February that it was defending 54,800 cases over its inserts while Boston Scientific, based in Marlborough, Massachusetts said that same month it faced 43,000 mesh claims. Both companies have settled some mesh suits. In 2014, the U.S. Food and Drug Administration (FDA) increased regulatory restrictions on the mesh inserts upon recognizing the devices were high-risk. The agency ordered Endo’s American Medical System unit, J&J and other mesh makers to study organ-damage rates linked to the devices. In 2012, J&J shut down some of its mesh lines.
Endo paid $150 million in legal settlements related to its vaginal mesh in the fourth quarter of 2016 and now more payments are due to be paid. Endo recorded an $834 million pretax charge to increase the estimated product liability accrual. It had already set aside $1.4 billion to cover the legal costs at the end of the previous settlements.
Endo sold the men’s health portion of its American Medical Systems device unit in 2015, to Boston Scientific for $1.6 billion and renamed the remaining portion Astora Women’s Health. Endo had acquired AMS for $2.9 billion in 2011, making the purchase a significant misstep in corporate strategy in what was even at that time, a highly litigated medical device. TVM was already widely known as product that was prone to high numbers of adverse events and regulatory scrutiny.
Endo International AMS Settlement Background and Update
Endo acquired device maker American Medical Systems Holdings, Inc in 2011. Endo has agreed to pay out approximately $2.6 billion to settle cases claiming injuries from its vaginal mesh devices, which include the Perigee, Apogee, and Elevate implants. The company had formerly ceased production of AMS transvaginal mesh.
In June 2013, $55 million was paid to settle an undisclosed number of lawsuits according to the SEC. In May 2014, $830 million was paid to settle over 20,000 mesh lawsuits (about $40,00 per case). The settlement came one day after the FDA said transvaginal mesh should be reclassified as a high-risk medical device and subject to stronger regulatory scrutiny.
In October 2014, over $400 million was paid to settle over 10,000 mesh lawsuits (about $48,000 per case). With this action, Endo said that it resolved “substantially all” the remaining lawsuits against its AMS unit. The $400 million was in addition to $1.2 billion already promised by Endo to cover mesh litigation.
About 450 mesh lawsuits were resolved through two separate settlements in April and May 2015.
In August 2017, $775 million settlement was paid to resolve 22,000 mesh lawsuits, resolving the remaining lawsuits against AMS.
Legal Advice and Information for Mesh Recipients
If you or someone you know suffered injuries regarding the use of mesh implants, you may have valuable legal rights. Parker Waichman offers free, no-obligation case evaluations. We urge you to contact us at 1-800-YOURLAWYER (1-800-968-7529).
