Abbott Laboratories announced it has entered into agreements to pay approximately $670 million to resolve a portion of the litigation concerning its specialty formulas for preterm infants. The settlement addresses lawsuits alleging that the company's products caused necrotizing enterocolitis (NEC).
Key Details
- Settlement Amount: The aggregate settlement is approximately $670 million.
- Scope of Resolution: The agreements resolve the prominent "Gill" lawsuit (previously a $495M judgment, now ~$600M with interest) and claims on behalf of approximately 2,000 additional infants.
- Remaining Litigation: Following this settlement, approximately 1,700 lawsuits involving claims for about 12,700 infants remain pending in federal and state courts.
- Company Position: Abbott stated the settlement is a compromise of disputed claims and not an admission of liability, maintaining confidence in the safety and science of its products.