Vol 22, 2013 Annals of Health Law 417
PROSECUTIONS OF PHARMACEUTICAL COMPANIES
Pharmaceutical companies have conceded to more high-dollar
settlements with the DOJ in the short time since that article was published.
These settlements increasingly also address the state actions that now
commonly follow in the wake of aggressive DOJ action against a
pharmaceutical company.64 In May 2012, Abbott announced a $1.6 billion
settlement to resolve allegations related to alleged off-label marketing of
anti-seizure drug Depakote.65 The settlement included a criminal fine and
forfeiture of $700 million.66 It also included a civil settlement to resolve
false claims allegations, which involved a $560 million payment to the
federal government and payment of $240 million to resolve the claims of
forty-nine states and the District of Columbia.67 Additionally, Abbott
agreed to pay a further $100 million to states to resolve consumer
protection claims.68 In the summer of 2012, Johnson & Johnson agreed in
principal to resolve several off-label marketing allegations related to anti-psychotic Risperdal.69 The settlement with the federal government to
63. Id. at 2.
64. For more information of tag-along state actions, see discussion infra Part V. A.
65. Press Release, Dep’t of Justice: Abbott Labs to Pay $1.5 Billion to Resolve
Criminal and Civil Investigations of Off-Label Promotion of Depakote: Company
Maintained Specialized Sales Force to Market Drug for Off Label Purposes; Targeted
Elderly Dementia Patients in Nursing Homes (May 7, 2012), available at http://www.
68. Press Release, Abbott Labs, Abbott Reaches Settlement Agreement on Depakote
(May 7, 2012), http://www.abbott.com/news-media/press-releases/abbott-reaches-settlement