Friday, August 26, 2011

Merck Wins Reversal of $32 Million Vioxx Jury Award in Texas Supreme Court - Bloomberg

Merck & Co. doesn’t have to pay a $32 million jury award to the family of former user of the company’s Vioxx painkiller who died of a heart attack, the Texas Supreme Court ruled.

The court today said the family of Leonel Garza didn’t produce adequate evidence showing Vioxx caused the heart attack, meaning the 2006 verdict must be thrown out. Merck, the second biggest U.S. drugmaker, agreed in 2007 to pay $4.85 billion to settle thousands of injury claims over the drug.

Lawyers for the Garzas “did not present reliable evidence of general causation and therefore are not entitled to recover against Merck,” the state’s highest court concluded in an 18- page decision.

Kathy Snapka, one of the Garza family’s lawyers, didn’t immediately return a phone call or e-mail seeking comment on the Supreme Court ruling.

Officials of Whitehouse Station, New Jersey-based Merck pulled Vioxx off the market in 2004 after researchers linked it to an increased risk of heart attack and stroke. Former users also criticized the company for downplaying the drug’s health risks and manipulating studies to help promote the drug.

Merck officials countered that Vioxx wasn’t the cause of users’ heart attacks and that the company had properly warned doctors and consumers about the painkiller’s risks.

Trial Record

Merck won 11 of the 16 cases over Vioxx that went to trial starting in 2005. Under the November 2007 settlement, Merck excluded some of cases it lost, including Garza’s, from being included under the accord.

A jury in Rio Grande City, Texas, ruled in April 2006 that Merck failed to warn doctors of Vioxx’s risks and that the drug caused the fatal heart attack of Garza, 71, in 2001. The jury awarded $32 million to Garza’s widow, which Judge Alex Gabert cut to $8.73 million because of a state cap on punitive damages.

“Today’s decision reaffirms that there is simply no reliable scientific evidence that Vioxx caused” Garza’s heart attack, Ted Mayer, a lawyer for Merck, said in an e-mailed statement.

The case is Garza v. Merck & Co., 03-84, 229th Judicial District Court, Starr County, Texas (Rio Grande City).

To contact the reporter on this story: Jef Feeley in Wilmington, Delaware, at jfeeley@bloomberg.net.

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net.

Posted via email from Jack's posterous

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