Drug Warnings Omitted
Anchorage, AK: (Mar-26-08) The State of Alaska brought a lawsuit against Eli Lilly and Co., an innovation-driven corporation, over the use of its drug Zyprexa, or olanzapine, by the State's Medicaid program. Zyprexa, which is often prescribed in the US and in more than 80 other countries, is used for the short and long term treatment of schizophrenia, acute mixed or manic episodes of bipolar disorder, and maintenance treatment of bipolar disorder. Experts said that the drug is not accepted for treating dementia-related psychosis.
The suit, filed in March 2006, claimed that the State and healthcare providers were not sufficiently warned about probable side effects relating to weight gain, high blood sugar and diabetes, causing injury to the recipients and subsequently increased costs to the State. The suit sought reimbursements to pay the State for those costs and pay civil penalties under the Alaska Unfair Trade Practices and Consumer Protection Act.
After trial in Superior Court in Anchorage on March 3, 2008, sources revealed that the company reached a settlement, in which it agreed to pay $15 million and would guarantee that Alaska will be treated as favorably as any other state that may resolve with the company in the future over similar claims. Lilly's senior vice president and general counsel Robert A. Armitage stated that the company's decision to settle, did not change the fact that Zyprexa can continue to improve the lives of patients around the world.
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Published on Mar-27-08
