Defense counsel retained Cornerstone Research to determine whether common evidence could show that the alleged conduct caused higher prices.
The plaintiffs in a class action against a large pharmaceutical company alleged that the company provided false and misleading information about the efficacy and safety of its products, resulting in all class members paying higher prices and consuming more products.
The defendant retained Dr. Michael Keeley, a senior vice president of Cornerstone Research, to determine whether common evidence could be used to determine if the challenged conduct caused the price of any given product to be higher or if individual inquiry would be required.
Dr. Keeley’s empirical analysis of the pharmaceutical market showed that there could not be a class-wide impact. He also showed there could not be a presumption that any allegedly false and misleading information affected all prices. In addition, Dr. Keeley showed that many class members were not harmed. The case settled.