Doctors and weight-loss clinics distributed the prescription diet drug Pondimin (fenfluramine). When Pondimin and Redux were taken in combination, it was popularly referred to as Fen-Phen.
Manufacturer American Home Products withdrew the drugs from the market in 1997 upon request from the Food and Drug Administration (FDA). Pondimin and Redux are linked to heart valve disease, according to studies.
Settlement Reached Over Pondimin
A national diet drug lawsuit over Redux and Pondimin resulted in American Home Products in 1999 agreeing to pay as much as $3.75 billion. The terms call for American Home to create two trust funds that would make payments over 15 years, one with a current maximum value of $2.55 billion for injured people, and another with a value of $1.2 billion for medical tests and drug refunds for people who took the drugs but aren’t necessarily ill.
Adjusting for inflation, the company’s payment to plaintiffs spread over that time could amount to $4.83 billion.