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Johnson & Johnson Spends $223 Million In Litigation Expenses And Additional Depuy Asr Recall Cost

From January to September this year, Johnson & Johnson already spent $223 million

in litigation and additional DePuy Articular Surface Replacement (ASR) hip recall cost, as recorded in the pharmaceuticals third quarterly earnings report. The report submitted to the US Securities Exchange and Commission last Nov. 8, 2011 also discusses in detail the various legal proceedings that Johnson & Johnson is involved with. Aside from facing a mounting number of cases in relation to the ASR hip recall, Johnson & Johnson had also reimbursed thousands to Australians in recall claims .

Johnson & Johnsons litigation expenses is expected to rise further before the year ends considering that court documents show that nearly 20 DePuy ASR hip recall lawsuits are filed everyday. There are approximately 2,600 cases currently pending in the DePuy ASR multidistrict litigation (MDL), which is underway in the U.S. District Court for the Northern District of Ohio, according to a motion filed by the Plaintiffs Executive and Steering Committees. Also pending in state courts are over 1,000 related ASR hip cases aside from the federal SePuy ASR hip lawsuits.

The ASR hip implant was defectively designed as alleged more or less by all of the lawsuits and that DePuy knew that there were problems with the implant early on but didn't do anything to let patients or their surgeons know about the possible problems. When complaints on metal-on-metal hip implants started to rise, medical experts say the DePuy ASR hip systems should have been recalled immediately. When proof started coming out that the device had a high failure rate, they say that Johnson & Johnson still waited for a couple of years to pass.

Australia was the first country to withdraw the two DePuy hip implants in December 2009 with the United States and Europe following in August of 2010. The recall followed the release of data from a study by the National Joint Registry (NJR) of England and Wales that indicated the five-year failure rate of this product was approximately 13 percent. The design of the hip implant was said to be the culprit why the device fails five years after it has been implanted.


DePuy designed a shallower cup and removed the plastic liner from the inside of the implant because it had intended for patients to have a wider range of motion. However, the friction of the ball portion of the hip implant against the socket wears away cobalt and chromium particles from the device and into the soft tissue around the area leading to complications. Another cause for DePuy to worry is that there are also evidences indicating that the revision rate in relation to the device is at 25 percent with some medical experts predicting that within six years it could reach up to 49 percent.

With the first lawsuits filed just months after the DePuy hip replacement recall and with most of these lawsuits consolidated in an MDL just last December, plaintiffs leading the litigation are devoting substantial time and resources in order to efficiently manage these lawsuits. Some of the measures implemented are discovery forms being negotiated and standardized; protocol for the production and review of electronically-stored information has been established; experts have been retained; and depositions have begun, in an attempt at organization.

by: Katherine Russel
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