Merck settlement of $688 million is among top securities class actions of all time

FRT Admin
Site administrator
February 26, 2013

Merck & Co. has agreed to a combined $688 million dollar settlement regarding two securities class actions against the company and Schering-Plough, which merged with Merck in late 2009. The settlement came just several weeks before the case was set to go to trial. This recent Merck settlement puts it among the top 25 securities class actions of all time, and is likely the largest settlement involving a pharmaceutical company.Merck-logo

According to the lawsuits, Merck and Schering-Plough misrepresented claims about a clinical trial called “ENHANCE”, which involved the anti-cholesterol drugs Zetia and Vytorin. The claimants named in the suits state that the two companies and certain directors and officers were not forthcoming regarding poor clinical trials for the drug. The settlement indicates that Merck will responsible for $215 million to resolve the class action against Merck defendants and $473 million to resolve the class action against Schering-Plough defendants.

While the settlement has not been finalized by the court, affected investors include those that purchased certain securities issued by Merck and Schering-Plough between December 2006 and March 2008, according to the press release issued by Merck. A settlement has been reached in principle, but the claims administrator is not yet accepting claims. When the settlement is approved by the court in the coming months, claims will then be accepted.

ABOUT FINANCIAL RECOVERY TECHNOLOGIES
SETTLED  I  NON-US GLOBAL OPT-IN  I  ANTITRUST  I  GLOBAL PASSIVE  I  DIRECT OPT-OUT  I  BUYOUTS

Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.