$31.8 Million Settlement from GlaxoSmithKline: Implications for North Carolina Workers’ Compensation

October 18, 2012, by Michael A. DeMayo

GlaxoSmithKline recently earned the dubious achievement of being on the losing end of the biggest healthcare fraud settlement in the history of the United States. As part of that settlement, the behemoth drug maker will pay North Carolina $31.8 million. These funds will be disbursed to various programs, including Medicaid and our public school system, which will receive nearly $4 million. If you have been waylaid with a workplace injury or illness, and you need North Carolina workers’ compensation benefits, what should you make of this story? How will it affect you, personally, if at all?

There are lessons to be learned here, but they are subtle:

1. The wheels of justice can take time to turn, but they can work.

State and federal investigators spent a tremendous amount of time, money, and energy to bring GlaxoSmithKline to heel, legally speaking. Surely, the job wasn’t easy. But at the end of the day, the drug manufacturer did have to pay for making untrue statements about the efficacy and safety of certain drugs, providing kickback to physicians, and failing to fully pay rebates to Medicaid and similar benefits programs. If you currently feel like you are up against ìinsurmountable oddsî – e.g. a big insurance company refuses to pay you – you may have more options at your disposal than you realize.

2. Elements of the system are just fundamentally unfair.

In an ideal world, patients could trust drug companies to provide effective safety warnings, equitable reimbursement, etc. They could rely on honest physicians to guide them, too. But alas, in the real world, our situations can get more fraught and complex. Fortunately, you can turn to respected advocates, like the DeMayo Law team, to even things up.

3. You are not in this alone.

If you feel alone, isolated, and overwhelmed due to your workplace injury or illness – isolated even from friends and family who want to help – you can easily spiral into a mentality of “no one knows what this is like.” But the GSK story illustrates that the problems that we all face with respect to workers’ compensation are, in some sense, universal.

That’s tragic, in a sense. But it’s also a relief; we can see our own story in context and thereby blunt the isolation effect. The team at DeMayo Law has helped many people in very similar situations to yours; we can help you, too.