hospital room

A man who suffered liver failure after taking a dietary supplement agreed to a $2 million settlement in his Middlesex County products liability suit, Viloria v. USP Labs, on April 27.

In the summer of 2013, Benjamin Viloria began taking a supplement called OxyElite that was sold as a safe way to gain muscle and lose weight, according to his attorney, Matthew Mendelsohn of Mazie, Slater, Katz & Freeman in Roseland. Viloria used the product for several months, until he began experiencing liver problems, he claimed. In October 2013, Viloria's liver failed, and he had to undergo an 11th-hour liver transplant, said Mendelsohn.

In November 2013, USP Labs of Dallas, maker of OxyElite, recalled the product, admitting that "[e]pidemiological evidence shows that use of [OxyElite] products has been associated with serious adverse health consequences, namely serious liver damage or acute liver failure," said Mendelsohn.

Before Viloria began using OxyElite, the Food and Drug Administration warned its manufacturer that its manufacturing process did not comply with best practices and violated the law. In 2013, reports emerged that OxyElite was linked to liver damage, and an FDA investigation found it was "adulterated," Mendelsohn said. The FDA ordered USP Labs to take OxyElite off the market, but the company instead claimed the liver injuries were caused by counterfeit versions of the drug, Mendelsohn said.

In April 2014, Viloria sued USP Labs, claiming the biopsy of his liver established that it failed due to OxyElite. In late 2015, the U.S. Department of Justice brought charges against USP Labs and several individuals in the Northern District of Texas. In January 2016, Viloria's suit was stayed pending the outcome of the criminal case, and the parties engaged in settlement discussions. In March 2019, USP Labs and five individuals pleaded guilty to felony charges in the criminal case, and in February 2020, the parties in the civil suit agreed to a $2 million settlement of Viloria's claims.

Viloria, now 49, has returned to work but will have to take medications for the rest of his life to prevent his body from rejecting the transplanted liver, and those drugs have their own side effects and complications, Mendelsohn said.

On April 27, the Department of Justice released funds that had been seized as part of the criminal charges for payment of the settlement, Mendelsohn said.

Pamela Lormand of Brewer Lormand in Dallas, who was national counsel for USP, and Glenn Goodier of Jones Walker in New Orleans, who was settlement counsel, did not respond to requests for comment.

— Charles Toutant

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$1.7 Million in Essex Auto Case

Gaita v. Novikov: A motorist who sustained injuries when he was rear-ended by a commercial vehicle at a red light settled his Essex County suit, and was paid the $1.7 million settlement on May 8.

On July 29, 2015, plaintiff Anthony Gaita, then 26,  was stopped at a red light at the intersection of 26th Street and Broadway in Fair Lawn when a commercial van, owned by Briad Restaurant Group and driven by company employee Vladimir Novikov, struck Gaita's vehicle from behind, according to documents and Gaita's attorney, Mark McBratney of Seigel Law in Ridgewood.

The accident occurred in Bergen County, but the suit was filed in Essex County based on the residence of Briad, which is headquartered in Livingston, according to electronic court documents. The complaint claimed Novikov was inattentive and negligently failed to stop for the red light.

Gaita claimed he sustained injuries to his cervical spine in the accident. He initially was treated with physical therapy and chiropractic care, but ultimately underwent a one-level discectomy and fusion at the cervical level in September 2016, McBratney said. Gaita later had to undergo a revision surgery in June 2018.

The defendants disputed causation and the permanency of Gaita's injuries, claiming his condition was attributable to a degenerative disc disease, according to McBratney. But, McBratney said, Gaita had no prior spinal issues.

The parties settled with Briad's primary insurer, Travelers Insurance Co., paying $1 million, and its excess carrier, National Surety Group, paying $700,000, McBratney said.

A stipulation of dismissal was filed with the court on April 8, according to electronic court documents.

The settlement was paid as of May 8, according to McBratney.

Michael A. Mourtzanakis of Morristown, an attorney with the Law Offices of James H. Rohlfing, represented the defendants. He didn't respond to a call and email about the case.

— David Gialanella