Stryker (NYSE:SYK) said today that it hit a milestone in the 2nd round of settlements for the Rejuvenate or ABG II modular metal-on-metal neck hip stems made by its Howmedica Osteonics subsidiary, with 95% of eligible patients enrolled.
The December 2016 agreement followed an earlier, $1 billion settlement over the implants, which were recalled in July 2012. Any patients who received revision surgery prior to December 19, 2016 are eligible for program. Reaching the 95% enrollment mark means that a claims processor will start letting claimants know how much’ll be receiving.
“The exact timing and amount of payments will depend on factors and circumstances specific to each claim. It is expected that a majority of the payments under the settlement agreement will be made by the end of 2017,” Stryker said.
In June 2016, Stryker said it was making headway on an initial $1 billion hip replacement deal to settle thousands of lawsuits related to the 2 recalled implants.
The initial program covered patients who had revision surgery prior to November 3, 2014. Stryker said that over 95% of eligible patients enrolled in the initial program.
The initial settlement program was announced Nov. 4, 2014, by Judge Donovan Frank of the U.S. District Court for Minnesota, where Frank oversaw some 1,800 lawsuits filed over the Rejuvenate and ABG II devices. A state judge in New Jersey, Judge Brian Martinotti of the New Jersey Superior Court for Bergen County, oversaw another 2,100 similar lawsuits.
The settlement called for each plaintiff in the covered cases to receive as much as $300,000 for each implant, meaning Stryker could be on the hook for up to $1.17 billion. Stryker did not admit to any liability or wrongdoing in the settlement.
Stryker began hashing out settlements with New Jersey Rejuvenate patients in December 2013.
