Archive for January, 2012

RJ Reynolds And Phillip Morris To Pay $2.5 Million In Damages

January 27th, 2012  |  Published in CVN, Hallgren v. RJR, Tobacco Litigation, Verdict

hallgren blogSEBRING, FL – The first major tobacco lawsuit of 2012 ended yesterday with RJ Reynolds (NYSE: RAI) and Philip Morris (NYSE: PM) being ordered to pay a combined $2.5 million in damages to a deceased smoker’s surviving husband.

Following nearly three-weeks of trial testimony a Highlands County jury found the two tobacco companies responsible for the smoking-related lung cancer of Theo Hallgren’s late wife, Claire Hallgren. 

After determining Claire Hallgren was 50% responsible for her addiction and awarding $2 million to Theo Hallgren in compensatory damages, the jury went on to order RJ Reynolds and Philip Morris to pay $750,000 each in punitive damages. 

Hallgren’s lawsuit was originally part of the 2006 “Engle” class-action case, which resulted in a historic $145 billion dollar verdict. The tobacco companies appealed, and the Florida Supreme Court later ruled each case must be tried individual. Hallgren’s trial was the first of dozens scheduled across Florida state courts in 2012 with thousands of other cases still awaiting trial dates. 

During closing arguments attorney T. Hardee Bass, of the firm Searcy Denny, told jurors in light of the tobacco company’s current billion-dollar profits, they needed to send a strong message with a large verdict. “That’s what this morning is about, punishment,” said Bass. “Punishment for the harm they caused to Claire Hallgren.”

Representing Philip Morris, attorney William Geraghty of Shook Hardy Bacon told the jury the company had made massive, systemic changes since the 1950′s, when tobacco products were marketed more aggressively. FDA regulation and Philip Morris’ own practices meant they had already taken enough corrective action. Dal Burton of Womble Carlyle, representing RJ Reynolds, said his client had also eliminated practices from the “1930′s and 40′s that are today an anathema.”

Attorneys for Hallgren asked the jury for $19 million in damages, and the reduced verdict represents recent success tobacco company defendants have had in limiting punitive damages amounts after much larger verdicts in earlier Engle trials.

Engle trials are scheduled throughout 2012 across the state of Florida. Another is currently underway in Miami, with at least three more trials set to begin next month. Courtroom View Network covered the Hallgren trial gavel to gavel, as it has for nearly all Engle tobacco trials to date. 

The case is Theo Hallgren, for the estate of Claire Hallgren v. Philip Morris USA, RJ Reynolds Tobacco Company, No. 10-761 in the 10th Judicial Circuit Court of Florida.

Hallgren trial screenshot resized 600

Hutchison Endoscopy Trial Resumes

January 23rd, 2012  |  Published in CVN Docket, Endoscopy Center Cases, Pharmaceutical

LAS VEGAS, NV – A civil trial has resumed after a nearly three-month break in a lawsuit against Teva Pharmaceutical Industries (NASDAQ: TEVA) and their distributor Baxter International (NYSE: BAX) related to Hepatitis-C contamination at a Las Vegas endoscopy clinic.

propofolThe trial was halted last October by the Nevada Supreme Court, while they considered a motion from the defendants for a change of venue, which claimed pre-trial publicity from large verdicts in previous related cases would prevent the selection of an impartial jury in Clark County. The Supreme Court issued an opinion denying the motion last December, and trial proceedings resumed earlier this month. Read the the court’s decision here.

In the underlying case, plaintiff Stacy Hutchison alleges Teva and Baxter are responsible for her contracting Hepatitis-C, due to the companies’ sale of the anesthetic Propofol in large containers, later used by Dr. Dipak Desai for multiple uses with contaminated needles at his endoscopy clinics. Dr. Desai, who has declared bankruptcy, is awaiting trial on criminal charges later this year. Defendants also include Sicor, Inc. and McKesson Medical-Surgical (NYSE: MCK). 

Hutchison’s case is one of many similar lawsuits filed against the pharmaceutical companies in Las Vegas. Jurors returned a $90 million verdict against Teva and Baxter in another trial a few weeks prior to the start of Hutchison’s, and the first Propofol-related case to go to trial resulted in a verdict exceeding $500 million, the largest in the state’s history. 

The defendants, represented on appeal by Lewis Brisbois Bisgaard & Smith and Texas-based McDonald Devin, in their initial brief to the court, claimed it would be “impossible” to select an unbiased jury due to the “vast number of Clark County residents who have a direct interest in this litigation and due to media coverage that has been overwhelmingly negative to towards the defendants.” They requested the trial be transferred to Reno. 

Hutchison’s attorneys opposed the request, as did the trial court judge, and ultimately the Supreme Court, which wrote “…the record evidence demonstrated that, although this case and related cases received a fair amount of pretrial publicity…it was not of a kind or to the extent that it tainted the jury pool.” 

The trial is scheduled to continue through at least January 30, with another related endoscopy clinic trial set to begin next month. Despite the unusually lengthy recess, the jury remained under instructions from the court not to independently research or speak about the trial. 

Courtroom View Network is providing a gavel-to-gavel video webcast of the Hutchison trial, as it has done for the three other endoscopy clinic trials to date. The case is Stacy Hutchison v. Teva and Baxter, Case Number 08A562216, Clark County Circuit Court, Nevada before Hon. Jerry Wiese.