Ohio settles with medical manufacturer for $390K

- Columbus Business Journal

09/10/2007 - Ohio has been awarded $390,000 in a multistate, million-dollar settlement with a cardiac defribrillator manufacturer.

Attorney General Marc Dann on Monday announced the state's share of the 36-state, $16.75 million settlement with Guidant Corp. The settlement stems from an investigation that found the manufacturer allegedly sold some implant defibrillators - put in a patient's chest to monitor the heart rate and deliver a shock if the heart stops - from 2002 to 2005 that hadn't been modified to correct a wiring problem that caused it to short-circuit. The company in 2002 made two changes to its defibrillators and allegedly continued selling those that hadn't been revamped.

The settlement will go into Ohio's Consumer Protection Fund, which finances investigations into consumer problems, said Michelle Gatchell, a spokeswoman for the attorney general's office.

Guidant has agreed to replace patients' devices upon request and reimburse them for out-of-pocket expenses up to $2,500 through a warranty program it has extended by another six months. Of the $16.75 million settlement, $1 million has been set aside to cover the out-of-pocket costs.

Information on how many Ohioans could call for the replacement wasn't immediately available.

The company also is creating a patient safety advisory board to evaluate the defibrillator's performance, disclose public service information - including recall and failure data - on a quarterly basis, notify customers online within 30 days of any device modifications and maintain a data system to track the usage of the devices nationwide.

Guidant is a wholly owned subsidiary of Natick, Mass.-based Boston Scientific Corp. (NYSE:BSX) and one of the world's three largest manufacturers of implantable cardioverter defibrillators. Boston Scientific in 2006 recorded a loss of $3.58 million on $7.82 billion in revenue.

Ennis & Ennis, P.A. is representing individuals that have been harmed as a result of Guidant side effects. If you or a loved one have suffered as a result of Guidant related vision complications you may be entitled to compensation. Click here to contact one of our Guidant Attorneys about a Guidant lawsuit today.