Paxil suit settles for $63.8 million

GlaxoSmithKline denies liability in claims that company withheld information about medication’s safety, effectiveness -

11/2/06
In October 2006, pharmaceutical company GlaxoSmithKline agreed to pay $63.8 million to settle a lawsuit in which plaintiffs claimed the company promoted its antidepressant drug Paxil for children and adolescents but failed to provide negative information about the product’s safety and effectiveness.

Plaintiffs included US residents who bought Paxil and Paxil CR for their children and are eligible to receive full refunds if they have records of their purchases. Consumers without documentation may receive a return of $15.

The company denied the lawsuit’s claims, including that consumers paid too much for the drug, but said it settled because it wanted to resolve the matter to avoid further court costs.

Payments to consumers in this case will depend upon the number of claims. If claims exceed the settlement amount, consumers will receive a portion of their refund amount.

Source: "Glaxo settles Paxil suit for $63.8 million," Philadelphia Inquirer, November 2, 2006.
Paxil
The FDA has been investigating the potential harmful side effects the drug Paxil causes its users since June of 2003. There are reports that the drug has caused an increased risk of violent behavior, suicidal thinking, and suicide attempts, especially in adolescents. The FDA currently recommends that …