Feb 3 U.S. medical device maker Biomet Inc will
pay at least $56 million to settle a multi-district lawsuit
relating to defective metal hip replacements, a court filing
showed, ending a protracted legal tussle.
The litigation involves Biomet's metal-on-metal hip
replacement device known as M2a Magnum. Hundreds of plaintiffs
claimed in various courts across the country that the hip device
led to injuries.
The lawsuits were combined and jointly heard at the federal
court of Indiana, the state where Biomet is headquartered. The
multi-district litigation began in 2012.
As part of the settlement, Biomet will deposit $50 million
into an escrow account and another $6 million into an attorney
fee fund, the filing showed.
The agreement with the plaintiffs shall extend to all
pending cases, and any future lawsuit filed in a federal court
on or before April 15, 2014.
Plaintiffs who have received a Biomet M2a 38 or M2a Magnum
hip replacement system as part of an initial hip replacement
that was rectified more than 180 days after it was implanted
shall receive a base award of $200,000.
Biomet, however, maintains that the injuries, losses and
damages were not due to its hip implants.
"Plaintiffs and Biomet are mindful of the uncertainties
engendered by litigation and are desirous of settling and
compromising their differences by entering into this settlement
agreement," Judge Robert Miller wrote in his order.
Biomet said in a statement late on Monday that it is pleased
to reach a settlement and resolve the lawsuits.
The case is Biomet M2A Magnum Hip Implant Products Liability
Litigation (MDL 2391), Case No. 12-02391, U.S. District Court,
Northern District of Indiana.