A recent news story in the Wall Street Journal suggested that Johnson & Johnson could face approximately $1 billion in potential liability and other costs associated with the more than 1,000 lawsuits against its subsidiary, Depuy Orthopedics.

The mounting pile of lawsuits filed in both state and federal courts against Depuy allege the device maker knew about serious problems regarding its metal-on-metal hip implants. The company has been accused of manufacturing a defective product and failing to properly warn doctors and patients of the device’s problems. Depuy is also accused of being negligent in the design, marketing and sales of its metal-on-metal hip replacement product.

According to a Depuy spokesperson, Johnson & Johnson has allotted $280 million to cover the medical costs of patients who were directly affected by the faulty hip implants and has also increased its product-liability reserves by $570 million.


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