Stryker Hip Recall May Cost up to $1.13 Billion

Stryker Corp. assumed that the cost of litigation would be a big amount of money but contained when the company announced the recall of the Rejuvenate Modular Hip Stem and ABG II Modular-Neck Hip Stem in June 2012. However, in the new U.S. Securities and Exchange Commission (SEC) quarterly filing, the company admitted that the recall would cost more than they originally believed. Now, it is estimated that the recall will cost between $700 million and $1.13 billion. This also triggered hundreds of lawsuits against Stryker.

The Wall Street Journal reports that Stryker previously believed that the recall would cost it between $400 million and $660 million, a range that is less than half of the recent estimate. Although Stryker stands firm on its promise to pay the “reasonable and customary” medical costs linked to the recall, as many as 20,000 patients received the recalled the hip implants.

Read More: Stryker Estimates Hip Recall Might Cost at Most $1.13 Billion

Stryker Multicounty Litigation Parties Agreed to Toll Possible Defenses

In July 2013, the parties involved in the Stryker multicounty litigation (MCL) in New Jersey reached a decision to “toll” any defenses to plaintiff’s claims against the Stryker Corporation and the Stryker Ireland Ltd. These two companies are non-party affiliates of the defendants.
Since none of the plaintiffs have lodged a lawsuit to either of these two companies, Stryker was concerned that its possible defenses would expire due to passage of time. With this, the parties came into a decision of “tolling” those various tine limits.
The three specific legal defenses that are tolled are the: statutes of limitations; statutes of repose; and doctrines of equitable estoppel, laches, waiver, unclean hands, and collateral estoppel.

Stryker Corp May Face $390M for Rejuvenate, ABG II Lawsuits

Because of the health risks caused by metal-on-metal hip replacement devices, they are receiving negative coverage in mainstream media, online sources state. Stryker Corp is one of the known makers for MoM hip replacement devices. In June 2012, Rejuvenate and ABG II, stryker lawyerStryker’s most sought-after hip replacement devices, have been recalled voluntarily by the company, as stated in an article at The recall may cost Stryker with $190 million to $390 million for patient testing and treatment, new surgeries, lawsuits and insurance payments. The eventual total cost of the recall will depend on several variables, Stryker said, including the number of patients who require testing and follow-up procedures and the cost of lawsuits. During the recall, blood tests and imaging test, such as x-ray, MRI or ultrasounds, are required to evaluate the device.

The metal hip implant configuration consists of a metal ball and a metal cup that slides against each other during walking or running. This incidence may produce metal ions from other parts of the implant where the implants connect. The bone and/or soft tissue surrounding the implant and joint may be damaged due to the tiny metal particles that wear off from the device.

Metallosis is a medical condition in which the blood is contaminated with high levels of metallic particles. The tissues surrounding the metal implant may be inflamed in some people. Dislocation, loosening, uneven leg length, blood clots, swelling, pain, and fracture of the bone around the implant are some of the problems reported to be linked with metal hip implants.

When hip implants fail, patients often go through a Stryker hip revision surgery. The Stryker Rejuvenate hip replacement has been linked to heavy metal toxicity, caused by metal components that fret and corrode. A number of injured patients have recently filed lawsuits against Stryker alleging the company designed and manufactured a defective medical device. The Stryker hip replacement attorney handles cases involving defective medical products.


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