Stryker Hip Replacement Lawsuit Settlement Costs Could Reach $1 Billion By Tod Aronovitz | 11/16/13 | 0 Comment

Product liability lawsuits relating to Stryker’s June 2012 voluntarily recall of its Rejuvenate and ABG II hip implants could cost the medical device manufacturer between $700 million and even upwards of $1 billion, according to a Wall Street Journal report published on October 23.

Currently, there are more than 300 Stryker hip replacement lawsuits pending in a consolidation of federal cases in Minnesota and about 600 awaiting resolution in state court in New Jersey. The most frequently alleged side effects have been pain, swelling, metallosis—or metal poisoning—and other complications.

Last January, our ARONOVITZ Blog reported on the risks associated with metal-on-metal hip implants and the Food and Drug Administration’s proposed rules which would require medical evidence documenting claims of safe usage. According to the FDA, adverse side effects may occur when friction causes metal debris from the hip transplant to shred and accumulate in the bloodstream, possibly leading to neurological issues.

In a recent quarterly report filed with the Securities and Exchange Commission, Stryker said, “We intend to reimburse implanted patients for reasonable and customary costs of testing and treatment services, including any necessary revision surgeries.”

Working with the medical community, the company is evaluating data and trying to put a solid number on the expenses involved in rectifying the situation, but admits that may not be feasible.

“The final outcome of this matter is dependent on many variables that are difficult to predict. The ultimate cost to entirely resolve this matter may be materially different than the amount of the current estimate and accruals and could have a material adverse effect on our financial position, results of operations and cash flows,” the company cautioned in its SEC report.

Since the recall, Stryker has put out information on its website advising patients who received the Rejuvenate and ABG II hip devices on the next steps they should take. Other useful resources can be found on the FDA’s web portal for Hip Implant Medical Devices.

ARONOVITZ LAW: Representing Consumers in Product Liability Cases

The Miami product liability law firm of ARONOVITZ LAW pursues justice for citizens across Florida who have been injured by the wrongful actions or omissions of another individual, government agency, or corporation. We can assist you with civil litigation including consumer class action litigation, whistleblower cases, medical malpractice, product liability, and wrongful death cases.

Contact Miami product liability attorney Tod Aronovitz for a confidential discussion of your case.