Australian law firm Shine Justice (ASX: SHJ) has settled two class actions with Johnson & Johnson and subsidiary Ethicon for $300 million on behalf of women who suffered severe and life-altering complications from defective pelvic mesh implants.
Shine’s latest success follows protracted legal proceedings between the parties on behalf of group members represented by Kathryn Gill, Diane Dawson and Ann Sanders who received Ethicon/Johnson & Johnson-manufactured medical devices including vaginal mesh and tape implants.
The applicants’ claims were first upheld by the Federal Court of Australia in November 2019 when the pharmaceutical companies were found liable in negligence and for breaches of the Trade Practices Act and the Competition and Consumer Act.
This finding was further upheld unanimously by the Full Court of the Federal Court of Australia in March 2021. An application by the respondents for special leave to appeal to the High Court of Australia was refused in November 2021.
In April 2021, Shine filed a second class action on behalf of women with complications arising on or after 4 July 2017, with allegations substantially the same in both class actions.
The $300 million settlements are subject to approval by the Court, and the amount is in addition to orders previously made in respect of damages, costs and relevant interest.
Shine notes that cash is expected to be positively impacted in FY23 as a result of the reimbursement work in progress.
The settlements come two months after the law firm secured a $105 million settlement with US manufacturer Boston Scientific which also related to defective pelvic mesh implants.
“We are pleased to resolve this historic Australian action,” Shine Justice managing director and CEO Simon Morrison said.
“Our class actions team has advocated on behalf of our clients for almost a decade.
“No amount of compensation can ever replace what our clients have lost, but this outcome will provide vindication and closure for their claims.”
Shares in SHJ are up 6.70 per cent to $1.20 per share at 11.14am AEST.
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