Stryker Hip Recall to Cost Around $390 Million

Stryker Corp. recently put a preliminary price tag on the costs associated with its 2012 hip implant recall.

The Stryker hip implant recall of the Rejuvenate and ABG II modular-neck hip devices is likely to cost the company $190 million to $390 million for patient testing, treatment, new surgeries, lawsuits, and insurance payments, according to Reuters. The company included the information when it released its financial outlook for the fourth quarter and full year.

Last summer Stryker voluntarily recalled the Rejuvenate and ABG II modular-neck hip implants due to potential corrosion that could cause local tissue damage resulting in pain and swelling. Some of the potential injuries and painful side effects include:

• Severe inflammatory reactions

• Pain in the groin

• Breakdown of muscles, tendons and other soft tissues in and around the hip joint

• Loss of surrounding bone

• Loss of mobility

A third-party claims administrator -- Broadspire Services -- was hired by Stryker to help deal with patients who need to have their recalled hip implants replaced. Reuters reports the company says the final cost will hinge on factors such as the number of patients who require testing and follow-up procedures, the cost of lawsuits, and other considerations.

Metal on metal hip implants have been a source of problems for makers of the medical devices. For instance, Johnson & Johnson's DePuy Orthopedics recalled its ASR Hip Resurfacing System as well as the ASR XL Acetabular System following studies that revealed high failure and adverse reaction rates. Johnson & Johnson also hired Broadspire to help manage patient care and limit its financial exposure, according to Reuters.

If you or a loved one has been harmed by an unsafe medical product, contact Sokolove Law for a free legal consultation and to find out if a product liability lawyer may be able to help you.

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