According to people close to the discussions, the DOJ has rejected an initial settlement offer made by Johnson & Johnson to resolve allegations that it violated federal regulation in marketing its antipsychotic drug Risperdal.  DOJ reportedly expects Johnson & Johnson to pay $1.8 billion to resolve the matter, $800 million more than Johnson & Johnson initially offered.

The company has been sued in twelve states in relation to its Risperdal marketing.  According to the allegations, the company marketed Risperdal for several unapproved uses, despite high risks associated with the drug.  Johnson & Johnson settled the case brought by Texas’s Attorney General for $158 million earlier this year and has been ordered to pay $257.7 million in Louisiana and $327 million in South Carolina.

Read the entire article, “J&J Said to Face Demand to Lift Risperdal Settlement Offer by $800 Million”