GSK pays $2.2B to settle 93% of Zantac liability cases

GSK announced that it has reached agreements with 10 plaintiff firms who together represent 93%, or approximately 80,000, of the Zantac state court product liability cases pending against GSK in the United States. Under these agreements, GSK will make an aggregate payment of up to $2.2B to resolve all U.S. state court product liability cases handled by those plaintiff firms that meet agreed eligibility and participation criteria. “The participating plaintiff firms are unanimously recommending to their clients that they accept the terms of the State Courts Settlement, which is expected to be fully implemented by the end of H1 2025. Terms of the agreements are confidential,” the company said in a statement. GSK expects to recognize an incremental charge in its Q3 results for 2024 of $2.3B relation to the settlement, the Qui Tam settlement, and the remaining 7% of pending state court product liability cases, partially offset by expected reduced future legal costs. “There are no changes to GSK’s growth agenda or investment plans for R&D as a result of these settlements.,” it added.