BIRMINGHAM, Ala., Oct. 2 -- Three breast implant manufacturers Monday drafted a new settlement with thousands of women who filed lawsuits claiming implants damaged their health. The office of U.S. District Judge Samuel Pointer announced 'essential elements' of a deal involving Baxter Health Care, 3M and Bristol-Myers Squibb -- but not Dow Corning Corp. -- were reached to replace the collapsed $4.25 billion, global settlement with more than 400,000 plaintiffs. The value of the new settlement is expected to top $2 billion. Portions of the original, class-action settlement would remain intact. For example, Pointer's office said plaintiffs would receive payments based on the diseases they claimed to have contracted. Pointer had set a Sept. 30 deadline for a new settlement to replace the global deal reached a year ago, which he ruled did not include enough money from implant-makers to cover all the claims. Plaintiffs who received the silicone-gel implants before they were pulled from the market in 1992 blame them for connective tissue disease and other health problems, although manufacturers say research disproves such links between their products and serious maladies. Monday, officials for the implant makers declined to discuss monetary details of the tentative agreement announced by Pointer's office in Birmingham. They said any agreement could not be finalized without first getting approval from their boards of directors, insurers and other parties. A statement by Princeton, N.J.-based Bristol-Myers said the settlement 'would put money in the hands of the women quickly and provide benefits in various categories' but it added the company 'is prepared to fight vigorously to defend its position against those who choose litigation over settlement.'
Under the collapsed global deal, Bristol-Myers had committed $1.15 billion to settle claims. That commitment was second only to the pledge from Michigan-based Dow Corning, which had set aside $2 billion. Dow Corning withdrew from the global settlement after refusing to increase its commitment and filing for Chapter 11 bankruptcy. Implant cases against Dow Corning are now being litigated as part of the bankruptcy case. A spokeswoman for Illinois-based Baxter Health Care declined comment. But Minnesota-based 3M said in a statement, 'We are participating in the plan only because it is a quick, efficient and cost-effective way to resolve a large number of legal claims. 'We are pleased that this revised plan has finally been achieved and we are confident many women will see the merits of the plan and decide quickly to participate.' The 3M statement went on to say that the revisedsettlement guarantees a specific sum to each participant, thus making it 'impossible to project what the cost to 3M will be until we know the number of participants.' Thousands of women already have elected to 'opt-out' of the class- action suit and sue manufacturers individually in state courts. Pointer's office said the latest settlement includes a new option for plaintiffs wishing to opt-out and pursue lawsuits on their own. Pointer had threatened to allow all women who had joined the class- action deal to bow out and file individually if a new settlement wasn't reached this past weekend. Such a massive amount of opt-out suits would flood the courts and strain the defendants' legal resources.
