When a product is recalled, the company that makes the recalled product loses revenue from having to pull that product from the market. If anyone is injured by the defective product, the company may also be liable for damages. Because we handle these types of cases, we’ve been closely watching how the Biomet hip recall, the DePuy recall, and other issues with hip replacements have been unfolding, and it’s both encouraging and alarming that hip recalls are costing just one company upwards of $3 billion.
Johnson & Johnson reported its earnings in January. The report showed that hip recalls attributed to its DePuy Orthopaedics unit are expected to cost the company more than $3 billion. In addition, the company is forecasting lower-than-usual earnings for 2012. All because of the distribution of a defective product.
The issue with the DePuy hips, as with many other brands of hip replacements, is that it’s a metal-on-metal device. When the artificial joint moves, the metal parts scrape against each other, and produce metal shavings and fragments. When these bits of metal are released into the body, they cause damage and debilitating injury, and in some cases, even worse conditions than those for which the hips were originally replaced.
Three billion dollars sounds like a lot of money. That’s because it is—to most people. But in the world of big pharmaceutical companies, especially one as large and diversified as Johnson & Johnson, it’s a drop in the bucket. The company reported earnings of $16.1 billion for the first quarter of 2012. Just the first quarter. If earnings stay around that amount, Johnson & Johnson can potentially make somewhere in the neighborhood of $64 billion this year alone.
The point is, the company more than has the means to compensate those who were hurt by their hip replacement products. And this is why we take on clients who are affected by hip recalls. You deserve to be appropriately compensated for your pain, for the extra surgeries you may have to endure to correct the problems caused by the initial hip replacement surgery, for your time away from work—all of it. If you have been affected by a hip replacement recall, whether it’s DePuy, Biomet, or another brand, contact us and let us help you.