April 26, 2007
FOR IMMEDIATE RELEASE
12100 Wilshire Blvd., Ste. 950
Los Angeles, CA 90025
Contact: Robin McCall, Media Relations
Day: (800) 827-0087 or (310) 207-3233
Judge Approves Final Terms of Improved National Pediatric Paxil Class Action
Settlement- Consumers Get a Better Deal
Madison County, Illinois April 26, 2007 -- Madison County Associate Judge Ralph
Mendelsohn today approved and amended the national pediatric Paxil class
settlement which will provide more payment to people who paid for Paxil to use
by a minor and divide the fees more fairly among the lawyers who substantially
worked on the case.
Since GlaxoSmithKline's (GSK's) original $63.8 million settlement with Korein
Tillery and Swedlow and Associates on October 6, 2006, lawyers who did a large
amount of work on similar class actions in MN and CA and their clients, objected
to the settlement as being unfair to the consumers in the other classes and to
their lawyers, whose litigation efforts improved amendments to the terms of the
settlement and greatly contributed to the original settlement.
The firms who filed the objections to the original settlement on behalf of
client, Colin Connare (Baum Hedlund of Los Angeles, Pendley, Baudin & Coffin of
Plaquemine, LA, Strange & Carpenter of Los Angeles and Larson King of St. Paul,
Minnesota) argued that the settlement proposal had a loophole that prevented
adequate payment to a considerable number of consumers. One of the problems with
the original settlement was the perceived problem of reimbursement to consumers
who could not provide proper documentation. They were only to receive $15, but
under the new approved terms consumers who cannot provide proof will receive
$100. These claims were also capped at $300,000 under the old terms, but the
objectioning team of lawyers today were able to negotiate the removal of that
cap in addition to the increased payment. This uncapping of the GSK settlement
fund makes available more payment to a larger portion of potential claimants
thus making the settlement more fair and GSK's overall payout more adequate.
Three of the most important terms of the settlement:
1.. The case was about documents showing that GSK had determined that Paxil
failed to out- perform placebo for depressed minors yet GSK received money for
selling Paxil to depressed minors.
2.. The team of lawyers who negotiated the new terms worked in conjunction
with watch dog group Public Citizen which was also making similar objections to
theirs. Public Citizen was working on behalf of objectioner Bowman and PAL
(Prescription Access Litigation).
3.. The new claim form for undocumented claimants to receive $100 will be
posted on the website for the Paxil Pediatric Settlement at
www.paxilpediatricsettlement.com, www.paxilprogress.org and
"The most important objective in improving the settlement for all potential
claimants was accomplished through the objections we filed on behalf of our
client. Our litigation efforts substantially contributed to the original
settlement proposal and the improved amendments to the final settlement," stated
Michael Baum, senior partner at Baum Hedlund.