In what some are calling a boost for the pharmaceutical industry, the New Jersey Supreme Court dismissed hundreds of lawsuits claiming a Roche (RHHBY) drug caused a serious side effect because the company had not properly warned about potential harm. And in doing so, the court reaffirmed a state product liability law that drug makers rely on to defend themselves, but has caused disagreement in lower courts.
At the center of the litigation was the Accutane acne medication, which was alleged in more than 500 lawsuits to have caused inflammatory bowel disease. Roche withdrew the drug nearly a decade ago as generic versions began entering the market, although the company has been dogged by lawsuits claiming the pill was responsible for various maladies, including Crohn’s disease and depression.
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