Seeger Weiss Counsel to Local 68 Seeking Reimbursement From Merck for VIOXX Purchases

Seeger Weiss LLP is counsel to the International Union of Operating Engineers Local No. 68 Welfare Fund ('Local 68') and other similar entities seeking reimbursement from Merck & Co., Inc. ('Merck') for purchases of VIOXX on behalf of employees or participants covered under their prescription drug coverage plans based on Merck's deceptions in the marketing and promotion of the drug, and, in particular, its concealment of the drug's cardiovascular safety risks. The Local 68 action was first filed in 2003 in New Jersey State Court in Atlantic County and was the first-filed Third-Party Payor Vioxx class action in the United States. After extensive briefing and a hearing, the New Jersey Superior Court certified a nationwide class of Third-Party Payors in July 2005, and its decision was unanimously affirmed by the New Jersey Appellate Division in March 2006. In September 2007, the New Jersey Supreme Court ruled that the Third-Party Payor claims against Merck for VIOXX cost reimbursement could not proceed as a class action, but Third-Party Payors, such as Local 68, may continue to pursue their claims individually.

Local 68 alleges, in part, that Merck failed to disclose significant safety risks associated with VIOXX when marketing the drug to third-party payors and their representatives, who were responsible deciding which prescription drugs should be made available to patients, and ultimately picked up their cost. Third-party payors received the same promotional materials and marketing communications that were generally shared with the medical community and public (and have been at issue in all of the VIOXX trials to date). As a result of such misrepresentations and omissions (coupled with massive, unchecked direct-to-consumer marketing), Merck caused VIOXX to be mishandled at every level in the system from consumer requests for the drug, to ensuing physician prescriptions, and resulting third-party payor reimbursements. The consequence was that insurers and third-party payors expended billions of dollars on a drug that the American Heart Association and worldwide health authorities generally recognize as a cause of serious heart problems. All the while, equally effective and safer alternatives costing a tenth of the price were already on the market.

Local 68's claim has been brought under the New Jersey Consumer Fraud Act ('NJCFA'), a New Jersey law that provides recovery for victims of deceptive marketing practices, such as misrepresentations or omissions made in connection with the promotion and sale of a product. The NJCFA provides for money damages, which are required by law to be tripled, and other relief i.e., attorney's fees. Notably, 4 out of 5 New Jersey juries (in Merck's backyard) hearing claims of end-user consumers concerning VIOXX have found that Merck's marketing campaign for the drug misrepresented the safety of VIOXX, and, thus, that Merck committed consumer fraud on consumers and physicians.

Seeger Weiss has served in the forefront of the VIOXX litigation since its inception. Christopher A. Seeger, along with co-counsel on the VIOXX Negotiating Committee, concluded a $4.85 billion global settlement with Merck covering more than 45,000 personal injury claims for heart attack, sudden cardiac death, and ischemic stroke. It represents the largest global settlement of personal injury claims stemming from a pharmaceutical product in U.S. history.

Seeger Weiss has been appointed as both Liaison Counsel and Co-Lead Counsel in the New Jersey State Vioxx coordinated actions by the Honorable Carol E. Higbee, and as Co-Lead Counsel in the federal Multidistrict Litigation (MDL) by the Honorable Eldon E. Fallon. In 2007, Mr. Seeger served as Lead Co-Counsel in Humeston v. Merck, wherein he and Seeger Weiss partners David R. Buchanan and Moshe Horn, and associates Laurence Nassif and Jeffrey Grand, obtained a $47.5 million jury verdict for injuries caused by Vioxx, an award that was included in the 'Top 20 Personal Injury Awards of the Year (2007)' published by the New Jersey Law Journal.

If you have questions relating to your purchase or reimbursement for VIOXX, and you would like to discuss your rights in connection with your VIOXX expenditures, or potential measures to redress any claims you may have, please feel free to contact Christopher Seeger or David Buchanan by email (vioxxtpp@seegerweiss.com) or telephone (212.584.0700).

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