Considering Disclosure Risks In Sensitive Product Recalls

Law360 (August 21, 2019, 12:45 PM EDT) -- A New York trial judge recently denied a pharmaceutical company’s motion to seal status reports between the company and the U.S. Food and Drug Administration concerning recalls of contaminated vitamin products. The New York Supreme Court rejected the company’s argument that the status reports contained proprietary business information about customers and the recall that could be used by customers in future litigation.

The decision highlights the balancing act between comprehensive disclosures during recall efforts and the use of those communications in subsequent insurance or personal injury lawsuits arising out of the recall.

Background

In Otsuka America Inc. v. Crum & Forster Specialty...

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