Daily Management Review

Johnson & Johnson gets $572 mln fine in USA over opioid crisis


The company was convicted of the spread of the opioid epidemic in Oklahoma.

Open Grid Scheduler
Open Grid Scheduler
The Oklahoma court found that Johnson & Johnson was involved in fueling an opioid crisis in the state, fined the company $ 572 million "to address the devastating effects of the epidemic on the state and its residents."

This case became the second in opioids. The court imposed half the penalty. At the same time, according to MarketWatch, a total of about 1,500 similar lawsuits have been filed in the US opioid case from state authorities, local governments and even representatives of local Indian tribes. More than 40 US states, according to the Washington Post, have lined up to file lawsuits against pharmaceutical companies. The current decision will have a major impact on further decisions in such cases.

At the same time, according to the Guardian newspaper, the fine imposed on Johnson & Johnson "is a blow to many manufacturers, distributors and pharmacy chains facing more than 2 thousand other lawsuits across the country, as it will undermine their attempts to blame the epidemic on doctors who prescribed opioids, or those who used them. "

Before the trial began in Oklahoma on May 28, the state entered into agreements with two other accused companies: $ 270 million with the manufacturer OxyContin Purdue Pharma and $ 85 million with the Israeli company Teva Pharmaceutical.

Oklahoma prosecutors insisted that companies and subsidiaries used an aggressive and misleading marketing campaign that exaggerated the effectiveness of drugs for treating chronic pain and downplayed the risk of addiction. Oklahoma Attorney General Mike Hunter said overdose of opioids killed 4,653 people in the state from 2007 to 2017.

Hunter called Johnson & Johnson a "key" company whose motivation was exclusively greed. He highlighted two former subsidiaries of Johnson & Johnson, Noramco and Tasmanian Alkaloids, which produced most of the raw opium used by other manufacturers to make drugs. 

The prosecutor emphasized that the case examined in Oklahoma could become a roadmap for other states that would help bring drug manufacturers to justice for the opioid crisis.

According to media reports, Johnson & Johnson intends to challenge the decision in the Oklahoma Supreme Court.

source: marketwatch.com

Science & Technology

Amazon will allow customers to pay with palms instead of cards

Complete Computer System For Self Driving Cars Launched By Qualcomm

In A Lifetime We Could Accumulate 20Kg Micro-Plastic In Our Body

Creator Of The First 'Gene-Edited' Babies Of The World Gets 3 Year Jail Term In China

China to deploy giant Beidou global navigation system in 2020

VW Zwickau factory is getting ready for electric cars production

Airbus: Passenger hybrid aircraft to take off before 2035

Ocado To Introduce ‘Mini Robotic Warehouse’ With Standard Productivity

AB InBev’s Piled Up Alcohol Is ‘Too Good to Waste’

Ericsson Mobility forecasts nearly fourfold increase in mobile traffic by 2025

World Politics

World & Politics

UK adds Greenpeace, PETA to extremist organizations list

Indonesia, UAE sign nearly $23B deal

US to respond to Iran’s attacks on US bases in Iraq

Irish Passport issues hit record in anticipation of Brexit

Reporters Without Borders calls to release Julian Assange

IMF allocates Ecuador $ 500 mln more to support reforms

French pension reform chief to resign

Poland refuses to join EU 2050 climate deal