Trust is the most valuable commodity on the market. So, why is it that consumers seem to put their trust in manufacturers that repeatedly take advantage of them?

The latest big lawsuit emerged with conglomerate Johnson & Johnson (J&J) as its target.  Its subsidiary, Janssen Pharmaceuticals Inc., developed and marketed the antipsychotic drug Risperdal. Texas officials claimed the company continually made false or misleading statements about the safety and effectiveness of the drug and engaged in illegal marketing techniques. Johnson & Johnson recently agreed to pay $158 million to settle Texas’ claims.

Research studies showed many patients experienced unnatural weight gain, inducing vulnerability to diabetes. The results of the study were never released. In fact, one expert witness for Texas said the company actually hid these studies from the public. Additionally, the company marketed the drug for unapproved uses, including children with psychiatric disorders.

The lawsuit initially pursued a $579 million settlement against the company to repay the Texas Medicaid program and up to $500 million in penalties. Many analysts call the $158 million settlement a victory for Johnson & Johnson due to the billions that were profited from Risperdal.

This is not the first case citing Janssen for medical negligence. A court in South Carolina handed down a judgment for $327 million last year for similar reasons and in Louisiana they were ordered to pay $258 million. Drug manufacturers make billions off the medical system, and sometimes it’s by manipulating it to their advantage.

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