Last week, the Department of Justice Announced a record $1.5 Billion settlement with Abbott Laboratories over their mislabeling of the drug Depakote. "Global Health Care Company Abbott Laboratories Inc. has pleaded guilty and agreed to pay $1.5 billion to resolve its criminal and civil liability arising from the company’s unlawful promotion of the prescription drug Depakote for uses not approved as safe and effective by the Food and Drug Administration (FDA), the Justice Department announced today. The resolution – the second largest payment by a drug company – includes a criminal fine and … [Read more...]
The New “Loser Pays”
A lot of my friends have asked me about the new “loser pays” law and how I expect it to affect litigation in Texas. For years, Texas and most other states followed the so-called, “American Rule” whereby litigants pay their own attorneys’ fees. There were exceptions, such as certain statutory provisions that allowed recovery of attorneys fees in breach of contract, declaratory judgments, and other types of lawsuits. The new law is a departure from our historical approach, and represents a Texas version of the “English Rule,” allowing the prevailing party to recoup attorneys’ fees and … [Read more...]
Emotional Distress without Physical Damages – Supreme Court to Review
With a hat-tip to the blog, “How Appealing,” the ABA Journal is reporting that the 9th Circuit Court of Appeals has asked the Washington Supreme Court whether its product liability laws will allow a recovery emotional distress damages without evidence of any other injury. The case is based upon “glob of spit” found by a sheriff’s deputy on a Whopper. The deputy reportedly got an “uneasy feeling” about two of the Burger King’s employees, so he opened his burger before taking a bite. When he looked under the bun, Thomson Reuters News & Insight and SeattlePI.com report that he noticed a … [Read more...]