Life sciences and healthcare class actions

United States Video December 2023 7:38

Video Details

Class action litigation is on the rise worldwide, impacting industries such as pharmaceuticals, biotechnology and medical devices. Understanding the evolving trends in each region is crucial for businesses, regulators and legal practitioners. We closely monitor global developments, ensuring effective management of risks associated with class action lawsuits.

Life sciences and healthcare class action trends by region

United States

There are three prominent areas driving class action lawsuits: antitrust, securities and shareholder derivative claims, and personal injury spin-off litigation. Allegations include price-fixing, reverse payment patent settlements, overpromised therapies, fraudulent hiding of unfavorable test results and novel economic loss and medical monitoring claims.

Canada

Changes to the class certification test in Ontario have led to an increase in class actions in other provinces like British Columbia and Quebec. Defendants in the pharmaceutical sector are countering with early summary judgment motions with some success. Mass torts is a potential new trend that is also being seen.

Europe

The implementation of the European Representative Actions Directive caused significant changes in the European class action landscape. This directive mandates EU Member States to have procedural mechanisms for collective redress. The scope of application covers data protection, financial services and consumer protection law. Qualified entities can bring actions on behalf of consumers, with potential claims including compensation, repair, replacement or contract termination.

South Africa

There has been a surge in class action certification judgments in South Africa. Although there is no specific legislation for class actions, uniform rules of court and the Constitution provide a basis for bringing class actions. The Consumer Protection Act holds producers, importers, distributors and retailers liable for harm caused by defective goods or inadequate warnings. Manufacturers in the pharmaceutical and medical device industry face significant threats.

Australia

Australia has a well-regulated class action environment and developments in the US with drugs and medical devices quickly translate to Australian class actions. Australia has increased scrutiny with a proactive regulator, who is carefully examining adverse events reports. In Australia, medical device claims are leading the way.

Contacts

Global Head of Litigation and Disputes
Head of Life Sciences and Healthcare, US and Co-Head of Product Liability and Consumer Disputes, US
Partner | Global Head of Consumer Markets and Head of Litigation and Intellectual Property
Partner
Global Co-Head of Life Sciences and Healthcare; Partner