TITUSVILLE, N.J., Dec. 15 /PRNewswire/ -- Janssen, L. P., a Johnson & Johnson company, Plaintiffs’ Steering Committee (PSC), through its lead counsel, Russ M. Herman and the State Liaison Committee (SLC), through Richard J. Arsenault, Dawn M. Barrios, James T. Capretz and Barry M. Hill of the PROPULSID(R) Federal Multi-District Litigation (MDL- 1355, E.D. La.) announced today that they had reached an agreement in principle to resolve all remaining federal and state court lawsuits related to the product PROPULSID (cisapride).
There are approximately 2,069 individuals with cases pending in state court or filed in federal court after the deadline for eligibility to participate in the First MDL resolution program announced in February of 2004 expired. The agreement on the Second MDL Program becomes effective once 90 percent of the plaintiffs with death claims, and 95 percent of the plaintiffs with injury claims agree to the terms of the settlement. In addition, 5,000 individuals who have not filed lawsuits, but whose claims are the subject of “tolling agreements” suspending the running of the statutes of limitations against those claims, must also agree to participate in the settlement before it will become effective.
The Second MDL Program will essentially mirror the First MDL Program. It requires all participating plaintiffs to submit medical records to a court appointed independent medical panel. The medical panel will determine whether the claimed injuries were caused by PROPULSID and otherwise meet the standards for compensation. If those standards are met, a court-appointed special master will determine compensatory damages. As part of the agreement, defendants will waive a number of defenses.
Janssen will pay as compensation a minimum of $14.5 million and a maximum of $15 million, depending upon the number of plaintiffs who enroll in the program. Janssen will also establish an administrative fund not to exceed $3 million, and will pay legal fees to the PSC and SLC up to $4 million, subject to court approval.
The Propulsid MDL court will post on its website located at “http:\\propulsid.laed.uscourts.gov,” the Term Sheet and forms referenced in an Order to be issued by Judge Eldon Fallon, the presiding judge in MDL 1355 of the United States District Court, Eastern District of Louisiana.
Janssen, L. P.
CONTACT: Plaintiffs’ Steering Committee: Russ M. Herman, +1-504-581-4892;or State Liaison Committee: Richard J. Arsenault, 800-256-1050, Dawn M.Barrios, +1-504-524-3300, James T. Capretz, +1-949-724-3000, Barry M. Hill,+1-304-233-4966; or Janssen and Johnson & Johnson: Doug Arbesfeld,+1-908-218-7592; or Investors: Louise Mehrotra, +1-732-524-6491, StanPanasewicz, +1-732-524-2524
