Paxil - What a Settlement Means and Doesn't Mean
Recently, Paxil elected to settle nearly 200 cases related to birth defects allegedly caused by its popular SSRI antidepressant, Paxil. As usual, this raises a number of questions about the nature of a settlement.
Not every case goes all the way through a trial; rather, a major portion of litigation is settled out of court. Given the nature of litigation in modern society, there are some misconceptions about the nature of the process and what it means to “settle.” Even the use of the term is a confusing one, because it brings up the implication of “settling for less,” which has a generally negative connotation in modern language. In a certain sense this is the truth, but it ignores the subtleties of the arrangement.
Litigation is not an easy process. It can take years out of the litigants' lives. Legal dramas and movies make the process seem fairly straightforward, but they don't show the repeated trips to legal offices to check and double check filings. Fees pile up, as do the costs in real life. Time spent in the courtroom and in negotiations between parties is time that can't be spent enjoying yourself, making money or picking up the pieces after tragedy has struck.
A settlement, if reached amicably and mutually between the involved parties, cuts a great deal of this waiting time away. Money is brought to hand and the plaintiffs can move forward with their lives. There is no reason to consider a settlement in a pejorative sense if the parties involved agree mutually. It is an acceptable compromise for those who simply want help going forward, rather than a complete court case victory.
However, a settlement is also not an admission of guilt. Usually it includes terms that require the client to forgo any future litigation against the company. It does not create any binding on the company to change its practices, nor to cease the manufacture and prescription of the drug in question.
A settlement, like any other decision, is composed of many variables and must be considered in the full light of legal precedent and personal necessity.
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