Specialist
Executive at KJC Law Group
Agenda
- Philips Respironics’ (AMS: PHIA) (NYSE: PHG) voluntary recall of certain ventilators, BiPAP (bi-level positive airway pressure) and CPAP (continuous positive airway pressure) sleep apnoea devices following FDA issuing a safety communication
- Trial process deep dive – pre-trial proceedings, likely timeline and potential sticking points, using Bayer-Monsanto (ETR: BAYN) Roundup as a case study
- Criteria for case filings, predicting potential case numbers and payouts to each plaintiff
- MDL (multi-district lawsuit) vs class action nuances and breakdown of medical vs non-medical filings
Questions
1.
Philips is being sued by users of its recalled sleep apnoea devices – there are 114 cases consolidated so far for pre-trial proceedings. What might the pre-trial proceedings involve?
2.
How should we frame a timeline for the whole trial proceedings? What key points in the process should we monitor, and what sticking points could hold up the case in the meantime?
3.
To summarise, you’d suggest that if one plaintiff is found to have a medical case linked to these devices, you’d expect Philips to try and settle the rest of the cases with plaintiffs just due to the large costs associated?
4.
To confirm, you’d suggest the costs of trialling individual cases could be USD 1m plus attorney fees?
5.
How many plaintiffs might this eventually reach? This recall is on 3-4 million devices, and 114 cases have been filed so far. I’ve read reports it could potentially reach hundreds of thousands of plaintiffs. What are your thoughts on that figure and the timeline for potential plaintiffs to put in their claims?
6.
What might the legal system require to determine a given illness is associated with the Philips machine? The list of illnesses lawyers are accepting as potential clients is very long, ranging from acute respiratory distresses to multiple myeloma all the way through to renal damage. How can the legal system ensure these cases are associated with the machines, particularly with very complex illnesses such as cancer that could arguably be associated with a number of different factors? How does the long list complicate the case?
7.
What are the criteria for filing a case? Is it simply that the plaintiff has used one of the sleep apnoea devices, and that will then narrow during the bellwether trial?
8.
What is the difference in filing non-medical vs medical injuries from devices? I presume there will be filings for medical injuries, but why might there be non-medical filings?
9.
How does an MDL [multi-district litigation] differ from a class action? Who does the MDL status benefit more, the plaintiff or Philips?
10.
What can investors potentially use as a case study? Are we correct to assume this will develop similarly to recent payouts in which consumer products are alleged to cause cancer, such as the Bayer-Monsanto Roundup case and J&J talc cases? Are there any key differences that we should be aware of?
