LNL - Attorneys who donated thousands to Hood stand to make millions from Eli Lilly & Co.
Even after a federal judge dismissed most of Mississippi Attorney General Jim Hood's claims, Eli Lilly & Co. has decided to pay $18.5 million to settle the remaining part.
Hood announced the settlement Thursday at a news conference, according to the Clarion-Ledger of Jackson. The last remaining claim of his Zyprexa lawsuit had been stayed pending a decision in another matter.
"What we have always found is it is in the best interest of Lilly customers, employees and other important constituents to put these issues behind us the best and most appropriate way we can, so we can get back to business we're best at," Lilly spokesperson Marni Lemons said.
The settlement was filed Jan. 26 in state court. Mississippi was one of 12 states that did not participate in a previous 33-state, $62 million settlement.
The suits allege Lilly marketed Zyprexa for off-label purposes and that the drug caused weight gain-related side effects like diabetes and hypertension.
Eli Lilly has paid $1.4 billion to settle federal civil and criminal claims stemming from alleged off-label marketing.
The payment also benefited the Medicaid programs of more than 30 states that collectively received approximately $362 million.
Houston firm Bailey Perrin Bailey, which donated $75,000 to Hood, is also representing the states of Arkansas, Pennsylvania and Louisiana. None of those three states have finalized settlements, but Louisiana appears to have reached a tentative one. The other two cases are in state court and have not reached tentative settlements yet.
Bailey Perrin and a Mississippi firm will earn $3.7 million from the settlement.
Legal News Line
Posted February 4, 2010 - 10:53 pm