Endo International PLC has reportedly reached agreements to settle "substantially all" claims that have arisen regarding vaginal mesh products sold by American Medical Systems. American Medical Systems (AMS) is a unit of Endo International. In settling claims, Endo has not admitted to fault or liability in vaginal mesh cases.
A dangerous drug attorney knows that many cases end in settlements when defective drugs or medical devices have caused harm to patients. Settlements allow defendants to avoid costly legal expenditures and bad publicity associated with numerous plaintiffs' verdicts. Settlements also allow greater certainty for defendant drug companies as they can control their expenses for damages.
Plaintiffs can sometimes benefit from receiving a settlement because they can obtain compensation more quickly without needing a court trial. However, before settling, it is important to understand the impact this has on your rights. When you accept a settlement in a vaginal mesh case or other claim arising from a defective device, you are not able to subsequently seek more compensation from the device or drug manufacturer.
Endo Settles Vaginal Mesh Claims
According to the Wall Street Journal, Endo had previously indicated that the company would pay around $830 million before taxes in order to settle a "substantial majority" of the legal claims the company was facing. Endo and other drug manufacturers have been facing thousands of lawsuits brought by women who had vaginal mesh products inserted. Vaginal mesh is a treatment method for stress urinary incontinence and pelvic organ prolapse. While widely used, unfortunately many of the mesh products were brought to market with minimal testing and have turned out to be very dangerous for many women.
Plaintiffs claim the mesh failed to work as promised and is causing serious health problems including ongoing pain, erosion of the mesh, and pain during sexual intercourse. Surgical removal of defective vaginal mesh may become necessary and many women report recurrent pelvic organ prolapse or stress urinary incontinence.
Endo had also previously established a reserve fund of around $1.2 billion pretax to cover the costs of litigation arising from vaginal mesh claims. With the new settlement that the company has agreed to, the reserve is expected to increase to around $1.6 billion.
Endo placed American Medical Systems up for sale in August, according to Wall Street Journal insiders. The company that made the defective vaginal mesh devices recorded $250 million in revenue just in the six month period of time ending in June. The revenue brought in by AMS accounted for 19 percent of Endo International's total revenue. When the medical device company is sold, Endo could expect to receive approximately $2 billion. Endo had paid $2.9 billion to acquire AMS in 2011.
Drug and pharmaceutical companies clearly have substantial amounts of revenue ad substantial amounts of cash-on-hand. They should fully compensate plaintiffs who are harmed when defective products are released onto the marketplace. Before settling a claim with any vaginal mesh manufacturers, it is important to understand the full extent of your losses and to ensure that the settlement is reasonable and sufficient to cover the damages incurred.
If you have been harmed by a defective drug, contact DeCarlo Law today at 877-572-0065 or visit http://www.decarlolaw.com/ to schedule a consultation.