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Settlement Filed in Meningitis Outbreak

While victims of a meningitis outbreak may never regain full health, a recently filed financial settlement may provide some help.

In September 2012, health agencies and physicians noticed an uptick in incidents of meningitis. Investigation of the illnesses revealed victims suffered from a fungal form of meningitis resulting from contaminated pharmaceutical products produced by the New England Compounding Center (NECC), a Massachusetts company.

For sufferers of back and joint pain, steroid injections are often prescribed to reduce pain and inflammation. Compounding companies, like NECC, make large batches of medication for use in health facilities across the country.

According to the Centers for Disease Control and Prevention (CDC), 93 people in Indiana were sickened by the injections and 11 died.

Shortly after the outbreak, NECC closed its doors and filed bankruptcy. While investigation and lawsuits continue against other companies involved in the outbreak, claims against the owners of NECC were tentatively settled by the filing of a recent bankruptcy agreement that includes these points:

  • The owners of NECC are to fund a settlement trust worth approximately $100 million.
  • Almost $50 million comes directly from the owners, with another $29 million expected from insurance policies.
  • Sale of an additional business should increase the settlement trust another $10 million.

Across the United States, more than 700 people became sick and 64 died. For those who suffered stroke or infection as a result of the contaminated injections, life is never going to be the same.

If you are injured by a defective product or contaminated medicine in Porter County or another area of Indiana, seek skilled legal guidance.