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Pfizer Settles Zantac Lawsuits for Up to $250 Million Over Cancer Risks
May 16, 2024 9:50 AM - Parth Sanghvi
Image credit: Spencer Davis
Pfizer (NYSE:PFE) has reached a significant settlement agreement to resolve over 10,000 lawsuits in the United States concerning the cancer risks associated with its discontinued heartburn drug, Zantac. According to a report by the Financial Times on Thursday, the pharmaceutical giant will pay up to $250 million to settle these lawsuits.
The settlement, which was disclosed in a court filing in Delaware, aims to mitigate Pfizer's potential liability related to Zantac. The company is set to pay between $200 million and $250 million in the settlement, as reported by the Financial Times, citing sources familiar with the deal.
Zantac, first approved in 1983, became one of the world's best-selling medicines by 1988, surpassing $1 billion in annual sales. However, concerns arose after the U.S. Food and Drug Administration (FDA) requested drugmakers to withdraw Zantac and its generic versions from the market in 2020. This decision followed the discovery of NDMA, a cancer-causing substance, in samples of the drug.
The settlement represents Pfizer's effort to address the legal challenges and potential financial liabilities associated with the allegations regarding Zantac's safety. By resolving these lawsuits, Pfizer aims to manage its legal risks and focus on its core business activities.
Pfizer has not immediately responded to requests for comment on the reported settlement. However, the agreement underscores the pharmaceutical company's commitment to addressing the concerns raised by regulators and consumers regarding the safety of its products.
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