Vioxx maker Merck will spend $4.85 billion to settle a significant number of lawsuits filed against it for injuries caused by the painkiller. Under the agreement, which was announced late yesterday, Merck will set up two separate settlement funds to cover heart attack and stroke claims filed over Vioxx. The development is a surprising one, considering that until very recently Merck had vowed to fight every one of the 27,000 cases filed against Vioxx individually.
In order to be eligible for the settlement, Vioxx claimants will have to enter into a resolution process. Merck will set up a $4 billion fund for people who claim they suffered heart attacks as a result of Vioxx, and another $850 million fund for those who suffered ischemic strokes. The settlements will be awarded on an individual bases, and the amount of money each plaintiff ultimately receives will vary. Merck said that at this time, it has not determined how many former Vioxx users might be covered by the agreement.
