March 26, 2008

The Zyprexa Chronicles: Lilly's Statement On Alaska Settlement

Here's Eli Lilly's statement regarding its last minute settlement with the State of Alaska in the Zyprexa case:

"The agreement resulted from ongoing mediation ordered by trial Judge Mark Rindner before the trial began. Presiding Judge Morgan Christen renewed mediation efforts with the parties last week.

"The settlement will include payment by Lilly of $15 million plus a term that will ensure that Alaska is treated as favorably as any other state that may settle with Lilly in the future over similar claims.

"'I am very pleased with the efforts by Assistant Attorney General Ed Sniffen and our team of trial attorneys,' Colberg said. 'We believe this is a good result for the State of Alaska and the Department of Health and Social Services,' he added.

"'We believe this settlement is in the best interest of the company, the State, and, importantly, of the patients, families and healthcare professionals for whom Zyprexa is an important treatment option,' said Robert A. Armitage, Lilly's senior vice president and general counsel.

"In addition, Lilly provided the following information:

"'While we had a strong defense, we agreed with the State that the best result for everyone is an amicable resolution,' Armitage said. 'A trial always involves significant time and resources, especially a two-phase trial like this one that posed additional legal hurdles. A settlement helps us get back to what we want to focus on as a company: developing important new medications through research and partnerships with doctors and patients.'

"'We appreciate all the time and energy the jury invested over more than three weeks in such a complex case,' Armitage added.

"The agreement involves no admission of wrongdoing on Lilly's part.

"The March, 2006 lawsuit claimed the State and healthcare providers were insufficiently warned about possible side effects relating to weight gain, high blood sugar and diabetes, causing harm to the State's Medicaid recipients and increased costs to the State. The lawsuit asked that Lilly pay the State for those costs and pay civil penalties under the Alaska Unfair Trade Practices and Consumer Protection Act (UTPCPA).

"Prescribed for more than 23 million people since its initial approval by the FDA in 1996, Zyprexa is regularly prescribed in the U.S. and in more than 80 other countries. One of a class of medications called 'atypical antipsychotics,' it is approved to treat schizophrenia and bipolar disorder.

"'Our decision to resolve this case does not change the fact that Zyprexa can continue to improve the lives of patients around the world who are suffering from schizophrenia and bipolar disorder,' Armitage said."

The State has not issued its own release yet.

Posted by Philip Dawdy at March 26, 2008 08:30 AM
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Comments

"The agreement involves no admission of wrongdoing on Lilly's part."

That's disgusting. What was the point of the trial then?

Posted by: Marissa Miller at March 26, 2008 10:22 AM

Ah Shoot! Really? I was hoping that they wouldn't settle and lilly would end being forced to admit to the world what an evil bunch of bastards they are. And if they had not settled I am sure evenutally, even if it was only in the end when eli lilly lost, that the media would have paid some attention to it.

One of these states trails against lilly and this drug needs to go all the way thru to a judgement and people need to stop being pussies and settling.

And here's what I think is funny. I am sure that when the state went to sue lilly over zyprexa it was to make a statement at first, not just to get it's money back... so then why did they settle? .... any ideas? I am thinking maybe lilly offered them discounts to thier state health programs on other meds they make, or perhaps threatened or paid off the individuals involved in this suit somehow? hmmmmm, I wonder if we'll be permitted to know these things?

Posted by: Katielou82 at March 26, 2008 11:30 AM

Way to go Alaska

So what happens when the people responsible for the system in check, decide its not worth their bother to do their jobs?

Maybe somebody can explain how letting a company and the people who work there off the hook is good for the people they have harmed and violated?

Vigilantism is starting to look like the only way for someone to get justice and accountability nowadays.

Posted by: trt at March 26, 2008 12:19 PM

I maintain that the glass can be half full or half empty...

http://simpl.es/SwqibE

Posted by: Brad Fidler at March 26, 2008 01:41 PM

No one really expected Lilly to admit to wrong doing did they? I'd like the lawsuits to be refined to every single person per state that was rx'd Zyprexa regardless if medicaid paid for it. Private insured patients/consumers paid top dollar for that med plus high co pays[speaking from experience],and the same medical threat of weight gain and diabetes affected all consumers.

I candidly told my psych today I'd like to see my daughter's ex psych pay something for rx'ing off-label use Zyprexa for his standing dx of OCD.

Because in fact, though the ex psych medicated her for childhood bipolar from 1999>2005 all of the insurance receipts remained coded for OCD.

Lilly will continue to win court cases with cheap settlements, because they can. No accountability for actions and no admittance of wrong doing, I expected nothing ethical to come of the trial that's for sure.

Posted by: Stephany at March 26, 2008 03:02 PM

Lilly admitted no wrongdoing with the 30000 plaintiffs who suffered death or diabetes either. This case ended up like this because it was a civil trial and also because Alaska did not have its act together with regard to documentation of who died, who got diabetes, when, where, etc. The only case for sure that will be a criminal trial, in which things must be admitted and Lilly execs may go to prison where they belong for murder and mayhem is the Connecticut case. That is a RICO case.

Posted by: sorrowful at March 26, 2008 06:33 PM

Reality tells much. Lilly will never pay the dues that the injured and suffering and dead want.Same as the job I did taking care of my daughter at home for a year instead of having her housed in a Washington state residential care/or state hospital at $average top dollar 190,000; will never be paid to me by the state for "taking her off of their books."

I'm due. I'm due hundreds of thousands of dollars as are everyone else who suffers at the hand of industry, disconnected mental health care systems....etc.

We take the hits. We are better people than most for doing so, and remaining with head held high--justice is served when we can sleep at night, and know we are not the ones making press statements for Lilly.

Posted by: Stephany at March 26, 2008 08:00 PM

I'm surprised it was my old favorite Marni Lemons, the first Lilly PR person I encountered denying any connection with Zyprexa and diabetes way back in 2003. Marni Lemons takes lemons and makes lemonade. I think Lilly's PR and lawyer statements are very poor but they have a fine line to walk. That is the trouble with lies...you always have to remember what you said so you don't get caught in more lies.

Posted by: Sorrowful at March 29, 2008 02:48 PM
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