In a blow to British pharmaceutical company GSK, a Delaware judge has given the go-ahead for more than 70 000 lawsuits alleging that its discontinued heartburn drug Zantac caused cancer.
GSK said it disagreed with the ruling and would immediately appeal.
The news obliterated nearly £7bn of the company’s market value, reports Reuters, with analysts saying that the potential liability GSK could face from the litigation could be higher than the $2bn-$3bn figure assumed by the market.
Although the judge ruled that the expert witnesses could testify in court that the drug might cause cancer, GSK as well as former Zantac makers Pfizer, Sanofi and Boehringer Ingelheim had argued that the expert witnesses’ opinions lacked scientific support.
Over the past 12 months, GSK has settled a series of lawsuits related to Zantac, including several in California.
A jury in Chicago last month rejected an Illinois woman’s claim that Zantac caused her colon cancer, handing the pharmaceutical company a victory in the first case to go to trial.
Reuters article – GSK shares tumble 9% after 70,000 Zantac lawsuits allowed to proceed (Open access)
See more from MedicalBrief archives:
Zantac did not cause cancer, jury says in first trial over drug
GSK coughs up again in another Zantac settlement
GSK settles another lawsuit on heartburn drug Zantac