In June, Eli Lilly and Co., maker of Zyprexa, settled 900 claims that had been filed against it. Included in those 900 claims were four lawsuits that were set to go to trial in July. Eli Lilly had already spent over one billion dollars settling 26,000 claims regarding Zyprexa before the settlement of the additional 900 claims was reached. Lawsuits against Eli Lilly claim the company failed to adequately warn patients about the risk of high blood-sugar levels and diabetes for patients who took Zyprexa. Earlier this year, Eli Lilly settled 18,000 claims, also regarding Zyprexa. According to an article at MarketWatch.com, Eli Lilly settled around 10,500 Zyprexa claims in 2005.
The company still faces 750 claims plus lawsuits from eight states, including Alaska, Utah, Mississippi, and West Virginia. The states seek to recover Medicaid money that was spent treating patients who took Zyprexa. They claim that Eli Lilly artificially inflated the price of Zyprexa, forcing the states to pay higher claims for Medicare and Medicaid programs.
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Furthermore, Dawdy noted that he received the following information from the office: "We are part of the leadership states (Executive Committee) for a multi-state case concerning Eli Lilly and Zyprexa. We opened it January 4, 2007." Dawdy notes that a multi-state case is essentially a class action lawsuit filed by state attorneys general.
To be continued: Zyprexa Lawsuit and an Interview with Zyprexa Claima