Boston Scientific Settles Guidant Cases

Boston Scientific Corp. said Friday it has agreed to pay $195 million to settle around 4,000 claims involving heart defibrillators and pacemakers made by Guidant Corp., which it acquired last year.

The company said in a statement that the agreement was reached during mediation sessions with U.S. Magistrate Judge Arthur J. Boylan in Minneapolis.

The claims were all consolidated in federal court here, with the first trial due to start July 30. Boston Scientific said the agreement also includes an undetermined number of other similar claims from across the country, but not all of them.

"We are pleased by this resolution, which is in the best interest of all involved," Jim Tobin, president and CEO of Boston Scientific, said in the statement. "It will better allow us to focus our time and resources on developing innovative products to serve physicians and patients."

Charles S. Zimmerman, lead attorney for the plaintiffs, said in a prepared statement that the settlement, announced after the markets closed Friday, provides "meaningful and expedient relief" for plaintiffs and their families.

"We are pleased that we were able to come to an agreement with the company that serves the best interests of all parties involved," he said.

Boston Scientific, which acquired Indianapolis-based Guidant in April 2006 for $27 billion, faced some 1,430 lawsuits stemming from recalls and warnings involving Guidant's implantable defibrillators and pacemakers. It had set aside $732 million to cover expenses in the cases as of March 31, it said in a regulatory filing.

The $195 million settlement is just over a fourth of what Boston Scientific had set aside. Paul Donovan, a spokesman for the Natick, Mass.-based company, declined to comment on the reason for the difference. He also declined to comment on how many cases remain unresolved.

Since June 2005, Guidant has issued safety warnings or recalled more than 88,000 defibrillators and has recalled or issued warnings on about 200,000 pacemakers. The company was criticized for dragging its feet in notifying doctors, patients and regulators about the problems.

The plaintiff in the case that was set for trial July 30, Leopoldo Duron, became so fearful when he learned about the recall of his implanted Prizm defibrillator that he wrote his own obituary, and eventually had the device removed. Duron's case represented a group whose devices never malfunctioned, but who demanded compensation for medical monitoring and anxiety.

Last month, a federal judge in Minneapolis who is overseeing most of the cases denied Boston Scientific's request to throw out the claims, allowing them to proceed to trial.

Guidant's heart rhythm management unit is based in the Twin Cities, as are major competitors Medtronic Inc. and St. Jude Medical Inc.

July 14, 07 5:18 PM | Guidant Pacemaker & Defibrillator Settlement
Posted By Steve Karnowski - The Buffalo News

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If you have been injured by a Guidant Pacemaker or Defibrillator it is important to contact a competent specialized attorney in this matter. The settlement agreement between Boston Scientific (Guidant Corp.) and the courts is time sensitive and the process requires an attorney who knows exactly what they are doing in order to insure that you get the compensation you deserve. Our client’s claims must be submitted by August 13, 2007 to be eligible for the settlement. Boston Scientific has agreed to also include an undetermined number of other similar claims.

Contact our law firm today through the simple and easy to use Guidant Claim Form to find out if you have a case against Guidant Corp. If you would like to speak to one of our attorneys contact us today 24 hours a day 7 days a week.

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Improper judgment or practices of inexperienced and incompetent lawyers may cost you your entire settlement. Don't settle for anything but the best. The Sanders Law Firm is at the forefront of defective product litigation.

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