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Zyprexa lawsuit set for trial next week in Alaska

Austin Kirk

The first Zyprexa lawsuit is set to go to trial next week in the Alaskan Superior Court in Anchorage. The Alaska attorney general is seeking a recovery against Eli Lilly for payments made by the state’s Medicaid program for prescriptions of the schizophrenia drug, as well as for the state’s costs incurred in treating individuals who have suffered diabetes as a result of the side effects of Zyprexa.

>>INFORMATION: Zyprexa Side Effects

Zyprexa (olanzapine) is an atypical antipsychotic, which is approved by the FDA for treatment of schizophrenia and bipolar disorder. However, Eli Lilly has heavily promoted the drug for uses which have not been approved as safe and effective by the FDA, such as for treatment of dementia and depression. Since Zyprexa was introduced in 1996, Lilly has generated about $35 billion in sales from the drug, and a substantial portion of those prescriptions were for “off-label” uses.

The Alaska state attorney general claims that Lilly failed to warn users about the risk of Zyprexa side effects, including substantial weight gain and diabetes. They also claim that the drug manufacturer made deceptive claims while marketing the drug for “off-label” uses which were not approved by the FDA. As a result, the Alaska Medicaid program has incurred over $40 million in prescription expenses for the medication and millions of additional medical expenses incurred to treat individuals who developed diabetes after using the drug.  Some reports indicate that Alaska has demanded $200 million to settle the Zyprexa lawsuit.

Other Zyprexa lawsuits and investigations are pending throughout the country relating to the side effects of the drug. Eli Lilly has already agreed to pay about $1.2 billion for Zyprexa settlements with claimants who have been injured by the drug, and over 1,200 individual lawsuits are still pending. About 30 other states are pursuing or considering Zyprexa lawsuits similar to the claims brought by Alaska, and federal prosecutors are investigating criminal charges as a result of the marketing practices. Some reports have indicated that Lilly has considered agreeing to pay a fine of about $1 billion as a Zyprexa settlement to resolve the criminal and civil investigations by federal and state governments.

Similar concerns exist about side effects associated with other atypical antipsychotic medications, such as Seroquel, manufactured by AstraZeneca. The lawyers at Saiontz & Kirk, P.A. currently represent users of Zyprexa who are in the process of settling their claims, and potential new Seroquel lawsuits are still being reviewed for users who have been diagnosed with diabetes or pancreatitis. If you, a friend or family member have experienced problems, request a free consultation.

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