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Abbott Laboratories (NYSE:ABT) And Abbvie Inc. Testosterone Lawsuits Consolidated In Chicago Court

Boston, MA 06/13/2014 (wallstreetpr) – Abbott Laboratories (NYSE:ABT) as well as AbbVie Inc. are likely to face consolidated lawsuits in one Chicago court. The lawsuits pertain to the allegations that the two companies had concealed the information about risks of using AndroGel, the testosterone-replacement drug. The case is pending in the U.S. District Court, Northern District of Illinois (Chicago).

AndroGel suits

AbbVie Inc and Abbott are based in Chicago area only and at present, both these companies are facing a lot of AndroGel lawsuits. These lawsuits are pending before the U.S. District Judge Matthew Kennelly. A panel of the judges in Chicago decided to consolidate all these cases. Judge Matthew Kennelly will be overseeing the pre-trial information exchanges, which is a part of the consolidation. The consolidation of the lawsuits will include all the kinds of related lawsuits filed against the testosterone-replacement pills’ makers.

Consolidation decision pertains to USFDA’s re-examination of testosterone-replacement drugs’ safety

The decision of the panel to consolidate these cases came just after the re-examination decision of U.S. Food and Drug Administration. The USFDA said that it had decided to re-examine the safety of these testosterone-replacement drugs because different studies show an enhanced risk of stroke and heart attack by consumption of these drugs.

Testosterone Replacement Drugs Market

The testosterone replacement drugs market is a huge one and AndroGel and Axiron are also a part of this market. This market fetches $1.6 billion on an annual basis.

Reaction of Abbott and AbbVie

The spokesman for Abbott said that Abbott Laboratories (NYSE:ABT) had distanced its research-based pharmaceutical business and joined it with AbbVie in January 2013. The U.S. commercial rights as well as the responsibilities for AndroGel, therefore passed on to AbbVie in light of this separation.

On the other hand, the spokesman for AbbVie, Dirk Van Eeden said that their company supported the decision of the panel of judges to consolidate the lawsuits. This would be in the interest of efficiency as well as consistency.

Published by Alan Masterson

Alan has over 25 years of trading experience in the U.S. equity markets. He began his career in finance working on a program trading desk specializing in over-the-counter stocks. His career progressed from that point to his current position as senior trader on an institutional trading desk. In the evenings, Alan teaches economics at a local community college. He has contributed articles to various publications over the last six years, including feature articles for an economics magazine and various financial blogs. You may contact Alan via his email ([email protected]) or his Google+ page (https://plus.google.com/103338576216002376250).

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