Summary
On December 6, 2006, in connection with
defending William
Bigley's right not to be drugged against his will by the Alaska Psychiatric
Institute (API), PsychRights subpoenaed documents from David Egilman, MD, an
expert witness in the massive Zypresa Products Liability litigation before Judge
Weinstein in the Eastern District of New York. Because the documents were
under a secrecy order, Dr. Egilman was required to give Eli Lilly, the
manufacturer of Zyprexa, "a reasonable opportunity to object" before complying
with the subpoena. PsychRights expected Lilly to object in time and then
make its case to the Alaska court that Mr. Bigley was entitled to the documents
to establish that being drugged against his will was not in his best interests,
a right that PsychRights had recently established in
Myers v. Alaska Psychiatric Institute. Instead, after almost a
week had gone by without objection, Dr. Egilman determined Lilly had been given
a reasonable opportunity to object and produced the documents to PsychRights,
which immediately made them public by giving them to the New York Times and a
number of individuals. This resulted in a series of New York Times
stories, starting with a front page article on December 17, 2006, Eli Lilly Said to Play Down Risk of Top Pill.
In an article a little over year later,
Lilly Considers $1 Billion Fine to Settle Case, the
New York Times reported "The people involved in the investigations said the
inquiries gained momentum after December 2006, when The New York Times published
articles describing Lilly’syears-long efforts to play down Zyprexa’s side
effects and to promote the drug for conditions other than schizophrenia and
severe bipolar disorder," and on January 9, 2009, the United States Department
of Justice announced,
Eli Lilly and Company Agrees to Pay $1.415 Billion to Resolve Allegations of
Off-label Promotion of Zyprexa $515 Million Criminal Fine Is Largest Individual
Corporate Criminal Fine in History; Civil Settlement up to $800 Million.
However, the court in the Zyprexa Products Liability
litigation found that what PsychRights' president and attorney in the Bigley
case, Jim Gottstein, had done was improper and enjoined him from any further
dissemination of the Zyprexa Papers. That ruling was appealed by Mr.
Gottstein, but on August 12, 2010 the Second Circuit Court of Appeals affirmed
the trial court. Mr. Gottstein issued the following statement about
this decision:
Today, the United States Court of Appeals for the Second
Circuit
affirmed the District Court's injunction issued against me in connection
with the subpoenaing and distribution of documents produced in the Zyprexa
Products Liability Litigation. I am disappointed in the ruling. The Court
of Appeals held the District Court did not abuse its discretion in finding
the subpoena was a sham. This is not the case. I believe I acted properly,
but understand why both courts would believe this. Ultimately, I feel I did
not adequately explain my actions to the District Court and it was
understandably offended by what it thought was a deliberate violation by me
of one of its orders. My explanation was hampered at the time because
critical information had been withheld from me, such as my client having
been drugged with Zyprexa pursuant to a forced drugging court order shortly
before I took his case. I certainly intended no disrespect to the District
Court.
Mr. Gottstein's legal fees in defending against Lilly's legal
onslaught were over $315,000, including estimated unbilled fees, of which he
still owes almost $130,000. The International Center for the Study of
Psychiatry and Psychology (now the International Society for Ethical Psychology
and Psychiatry), on whose board Mr. Gottstein sits, offered to establish a legal
defense fund to help defray these expenses. On May 23, 2012, the Internal
Revenue Service issued a
"30-Day Letter" charging that because he was on the board of
directors, $16,761.50 paid to the attorneys from the Legal Defense Fund from
donations specifically for that purpose,was an "excess benefit" and therefore
subject to large financial penalties Mr. Gottstein
appealed that determination and
prevailed.
Department of Justice
Criminal & Civil Settlement
Congress
New York Times Pieces
- Eli Lilly Said to Play Down Risk of Top Pill, December 17, 2006.
- Drug Files Show
Maker Promoted Unapproved Use, December 18, 2006.
- Editorial,
Playing Down
the Risks of a Drug: Internal documents offer persuasive evidence that
Eli Lilly engaged in questionable behavior to prop up its best-selling
drug, December 19, 2006.
- Court Orders Lawyer to Return Documents About an Eli Lilly Drug,
December 20, 2006.
- Disparity
Emerges in Lilly Data on Schizophrenia Drug, by Alex Berenson,
December 21, 2006.
-
Mother Wonders if Psychosis Drug Helped Kill Son, by Alex Berenson,
January 4, 2007.
-
Lilly
to Pay Up to $500 Million to Settle Claims, by Alex Berenson,
January 4, 2007.
- Documents Borne
by Winds of Free Speech, by Tom Zeller, January 15, 2007
-
States Study
Marketing of Lilly Pill, by Alex Berenson, January 20, 2007.
-
Judge Rules
Drug Documents Must Be Returned to Eli Lilly, by Landon Thomas, Jr.,
February 14, 2007.
-
U.S.
Wonders if Drug Data Was Accurate, by Alex Berenson, April 25, 2007.
-
Lilly Adds Label Warnings for Mental Drug Zyprexa,
by Alex Berenson, New York Times, October 5, 2007
-
Lilly in Talks With US, by Alex Berenson, New
York Times, January 30, 2008 (Web Version).
-
Lilly Considers $1 Billion Fine to Settle Case, by Alex Berenson, New
York Times, January 31, 2008.
-
Judge to
Unseal Documents on the Eli Lilly Drug Zyprexa, by
Mary Williams Walsh, New York Times, September 6,
2008.
-
Lilly Said to Be Near $1.4 Billion U.S. Settlement on Drug, by Gardiner
Harris, New York Times, January 15, 2009.
Evelyn Pringle Pieces
in OpEdNews.Com
-
4 January 2007 - Criminal Prosecution of Lilly Sought Over Zyprexa
-
7 January 2007- Lilly's Legal Battle Over Zyprexa Documents Continues
-
12 January 2007 - Public Has Right To Know Secrets Revealed In Zyprexa
Documents
-
15 January 2007 - Zyprexa Judge Decides Which Journalists Have First
Amendment Rights
-
January 25, 2007,
Eli Lilly
The Habitual Offender.
-
February 1, 2007,
Zyprexa
Injury Clock Keeps Ticking Away
-
February 5, 2007, Nobody Buys
Lilly's Innocence Routine About Zyprexa
-
February 14, 2007,
More Zyprexa
Postcards From the Edge
-
February 26, 2007,
Activists Take on Eli Lilly Over
Off-Label Sale of Zyprexa
-
April 27, 2007,
Lilly
Receives Zyprexa Greetings From Capitol Hill
-
May 1, 2007,
Zyprexa Hole Gets Deeper
Documents Related to
the Zyprexa Papers Case
-
December 6, 2006,
letter from Dr. Egilman to Eli Lilly notifying it of the subpoena.
-
December 14, 2006, letter from Eli Lilly's local counsel, received December
15, 2006. In this letter Eli Lilly asserts it can invoke Dr.
Egilman's right to object to the subpoena.
-
December 15, 2006, response by Jim Gottstein disputing that, but
temporarily agreeing to act as if it can and challenging Eli Lilly to come
up with some legal authority for the proposition.
-
December 15, 2006, letter from the Lanier Law firm
-
First December 15, 2006, threatening letter from Eli Lilly Lawyers
-
Second December 15, 2006, threatening letter from Eli Lilly Lawyers
-
Case Management Order 3 (Protective Order) was attached to this letter.
-
Apparently conceding they did not have the right to invoke
Dr. Egilman's right to object to the subpoena, Eli Lilly lawyers obtained an
Order from the
Special Discovery
Master that evening requiring the return of the materials.
-
E-mail
as initial response to Special Discovery Master's Order.
-
Eli Lilly
Motion to Intervene and Quash Subpoena, December 15, 2006 (but not
served until asked on the 17th)
-
Draft Response to
Order, December 17, 2006.
-
Transcript of 1st
Hearing on December 18, 2006.
-
Transcript of 2nd
Hearing on December 18, 2006.
-
December 18, 2006, Eli
Lilly "Dear Health Care Professional" Letter, which I didn't find out
about until January 13, 2007.
-
Proposed District Court
Mandatory Injunction Order.
-
Issued Mandatory Injunction Order,
December 18, 2006.
-
December 20, 2006,
transmittal returning materials to Special Master Woodin.
-
December 20, 2006,
E-mail Exchange Regarding Compliance with Mandatory Injunction Order.
-
Transcript of December 20,
2006, Hearing.
-
December 21, 2006,
Compliance
Certificate by James B. Gottstein.
-
December 21, 2006,
letter from
Congressman Waxman returning the documents.
-
PsychRights writes Eli Lilly on
December 27, 2006, requesting it send a "Dear Doctor" letter to all
health care professions "advising them Zyprexa should not be prescribed
to anyone who is not already taking it."
-
December 29, 2006,
Temporary
Mandatory Injunction until January 3, 2007, against various people
who were sent the documents against their further dissemination
whereupon Judge Weinstein the judge on the case "will hear further
argument from any interested parties."
-
January 2, 2007,
letter to Judge Weinstein from Ted Chabasinski, Judi Chamberlin and
Mindfreedom's attorney.
-
January 2 2007,
letter from Eli Lilly Lawyers to Judge Weinstein asking for an Order to
Show Cause why Jim Gottstein should not submit to a deposition in New
York within five days to establish grounds for contempt and sanctions
motions Eli Lilly intends to file against Jim.
-
Transcript of January
3, 2007, Hearing before Judge Weinstein.
-
January 4,
2007, extension of December 29th Temporary Mandatory Injunction.
-
January 4, 2007,
Order to Show Cause to Jim Gottstein.
-
January 5, 2007, Order.
-
Transcript of January
8, 2007 Hearing
-
Brief of the Electronic
Freedom Foundation filed for the January 8, 2007, reargument of the
January 3, 2007 order.
-
Eli Lilly Brief on
Dissemination Injunction.
-
Alliance for Human
Rights Protection (AHRP) Brief.
-
Electronic
Freedom Foundation Supplemental Brief.
-
AHRP
Supplemental Brief, January 12, 2007.
-
Eli Lilly
Letter to Judge Weinstein about seeking sanctions against Jim Gottstein and
Dr. Egilman and about the hearing set for January 16, 2007.
-
John McKay (Jim
Gottstein's attorney) letter to Eli Lilly regarding the Tuesday, January 16,
2007 Hearing
-
John McKay letter
to Judge Weinstein regarding the Tuesday, January 16, 2007 Hearing
-
Supplemental Compliance
letter, January 13, 2007.
-
January 15, 2007,
Letter from Eli Lilly Lawyer to John McKay objecting to Jim Gottstein
testifying.
-
January 15, 2007,
Eli Lilly Response to EFF AHRP.
-
Eli Lilly Proposed Findings of Facts for extending the prior restraint
injunction
-
January 15, 2007, Eli Lilly brief in support of show cause.
-
January 16, 2007, Jim Gottstein brief (by John McKay)
-
Declaration of James B. Gottstein
-
Transcript
of January 16, 2007, Hearing
-
Transcript
of January 17, 2007, Hearing
-
January 23, 2007,
letter from
Dr. Egilman's lawyer, Ed Hayes, advising Dr. Egilman will refuse to testify
under the protection of the 5th Amendment
-
January 23, 2007, AHRP Brief to Unseal Documents.
-
January 25, 2007,
procedural
Order regarding motion to declassify documents.
-
January 25, 2007,
letter from Eli
Lilly's lawyer to the court advising there will be no deposition of Dr.
Egilman.
-
January 29, 2007,
Invitation & Order
to Alex Berenson to allow him to explain the circumstances of his obtaining
the documents.
-
January 31, 2007,
Eli
Lilly Brief on extending the injunction not to disseminate the documents or
facilitate dissemination.
-
January 31, 2007,
Eli Lilly Amended Proposed Findings of Fact
-
February 1, 2007,
MindFreedom Brief to
release the documents in the public interest.
-
February 5, 2007,
Order Opening
New Docket No. 07-504 for these proceedings.
-
February 5, 2007,
Letter from the
New York Times declining the Court's invitation for Alex Berenson to testify.
-
February 5, 2007,
Laura Ziegler Affidavit.
-
February 6, 2007,
Memorandum Of Points
And Authorities Of Respondents Mindfreedom International, Judi Chamberlin
And Robert Whitaker Opposing Extension Of Mandatory Injunction.
-
February 7, 2007
-
February 8, 2007,
-
February 9, 2007
-
February 12, 2007
- February 13, 2007
- March 1, 2007, Judgment &
Order (finalizing February 13th Memorandum, Final Judgment, Order &
Injunction)
- March 13, 2007, Jim Gottstein's Notice of Appeal
(to
both February 13, 2007 decisions).
- March 14, 2007,
Dr. David
Egilman's Notice of Appeal.
- September 7, 2007,
Dr. Egilman Settlement Stipulation and Order
- December 12, 2007, Alan
Milstein letter inquiring about status of declassification motion.
- December 14, 2007, Alan
Milstein correcting letter inquiring about status of declassification motion.
- December 19, 2007,
Order
denying request to hear declassification motion.
- August 20, 2008,
Order setting
September 4, 2008, hearing on declassification motion.
- September 5, 2008,
Order
granting class certification for some plaintiffs, denying others and
unsealing certain documents. 14 megabytes
Appeal of Permanent Injunction
Eli Lilly v. James Gottstein
United States Court of Appeals for the Second Circuit, Dkt. No. 07-1107-cv
Appeal Documents
- March 23, 2007, Jim
Gottstein Appeal
Package.
- May 29, 2007,
Motion
for 90-day Extension to file opening brief.
- June 12, 2007,
Order
Granting 90-day Extension
- September 6, 2007,
Substitution of Counsel for Jim Gottstein.
- September 7, 2007,
Stipulation Withdrawing Appeals from Active Consideration, Without
Prejudice, With Leave to Reactivate.
- October 25, 2007,
Stipulation Extending Gottstein Withdrawal & Dismissing Egilman Appeal.
- December 10, 2007,
Stipulation Extending Gottstein Withdrawal from Active Consideration.
- January 14, 2008,
Stipulation Extending Gottstein Withdrawal from Active Consideration.
- March 17, 2008,
Stipulation Extending Gottstein Withdrawal from Active Consideration.
- April 17, 2008,
Stipulation Extending Gottstein Withdrawal from Active Consideration.
- May 1, 2008,
Stipulation Extending Gottstein Withdrawal from Active Consideration.
- May 14, 2008,
Notice of Reactivation of Appeal.
- August 15, 2008,
Order
Reactivating Appeal and Setting Briefing Schedule.
- August 27, 2008,
Rescheduling Order.
- October 7, 2008,
Stipulation Withdrawing Appeal from Active Consideration.
- November 6, 2008,
Stipulation Extending Withdrawal from Active Consideration.
- December 5, 2008,
Stipulation Extending Withdrawal from Active Consideration.
- January 6, 2009,
Stipulation Extending Withdrawal from Active Consideration.
- February 5, 2009,
Notice of Reactivation of Appeal.
- February 20, 2009, Corrected
Civil
Appeal Schedule Order.
- March 26, 2009,
Civil
Appeal Schedule Order # 5.
- April 7, 2009,
Civil
Appeal Scheduling Order # 6.
- May 27, 2009, Motion for Extension of Time to File Opening Brief.
- June 15, 2009,
Motion
for Extension of Time to File Opening Brief.
- July 2, 2009,
Motion
for Extension of Time to File Opening Brief.
- July 6, 2008,
Order
for Extension
- July 13, 2009,
Motion
for Extension of Time to File Opening Brief
- July 14, 2009,
Order
for Extension
- July 23, 2009,
Motion
to Accept of Time Opening Brief .
- July 23, 2009,
Brief of
Respondent Appellant
- July 30, 2009,
Order Granting Motion to File Out of Time Brief.
- August 7, 2009,
Opposition to Judicial Notice & to Supplement the Record.
- August 12, 2009,
Reply Re: Judicial Notice & to Supplement the Record.
- August 17, 2009,
Order Re:
Judicial Notice.
- August 24, 2009,
Order
Re: Time to File Lilly's Brief
- September 22, 2009,
Lilly Request for Extension of Time to File Brief.
- September 23, 2009,
Order Re: Extension of Time to File Lilly's Brief
- September 28, 2009,
Renewed Motion for Judicial Notice (to Merits Panel)
- September 29, 2009,
Order Referring Judicial Notice Motion to Merits Panel.
- October 14, 2009,
Opposition to Motion for Judicial Notice.
- October 23, 2009,
Lilly
Opposition Brief
- October 23, 2009,
Lilly Motion to Strike Portions of Brief
- November 2, 2009,
Order Referring Motion to Strike to Merits Panel
- November 9, 2009,
Opposition to Motion to Strike Portions of Brief
- November 9, 2009,
Motion for Extension of Time to File Reply Brief
- November 13, 2009,
Order Granting Extension of Time to File Reply Brief
- December 3, 2009,
Motion
for Extension of Time to File Reply Brief.
- December 8, 2009,
Order Granting Extension of Time to File Reply Brief.
- December 10, 2009,
Motion for Extension of Time to File Reply Brief.
- December 15, 2009,
Order Granting Extension of Time to File Reply Brief.
- December 15, 2009,
Reply Brief.
- December 23, 2009,
Order Scheduling Oral Argument for 2:00 pm, February 2, 2010.
- August 12, 2010,
Decision on Appeal
Other Documents in the Federal Zyprexa Case
- September 11, 2006,
Memorandum Order & Judgment Regarding Liens and Disbursement Procedures.
- June 28, 2007, Memorandum & Order: Motions for Summary Judgment
pertaining to Third
Party Payor Claims they were defrauded into paying more than they should
have due to Lilly hiding the truth about Zyprexa.
- April 30, 2008,
Memorandum, Order & Judgment, granting summary judgment against Lilly
shareholders for Lilly's fraud.
- July 3, 2008,
Draft --
For Discussion Only, decision (291 pages) inviting comments by July 17,
2008, with respect to the court's inclination to certify a class action of
institutions which allegedly overpaid for Zyprexa as a result of Lilly's
fraud. The court found there was enough evidence of fraud by Lilly to
go to a jury under the federal RICO statute (Racketeering Influenced and
Corrupt Organizations Act)
- July 18, 2008,
Oral
Statement by the Court at Class certification Argument.
- Starting at page 289 of a
294 page
order mainly dealing with class certification, the Court ordered some
350 documents unsealed, many, if not most of them believed to be the same as
the Zyprexa Papers. However the court stayed the unsealing for the
special master to redact the documents "so as to avoid unnecessary
embarrassment or damage to any party." As of February 6, 2009, it is
believed the documents remain sealed.
Case XX
The Law Project for Psychiatric Rights' (PsychRights) mission is
to mount a strategic litigation campaign against unwarranted court ordered
psychiatric drugging around the country. At the end of June, 2006, PsychRights
won what has been called the landmark
Myers decision holding the existing Alaska statutory forced drugging
regime unconstitutional:
We conclude that the Alaska Constitution's guarantees of
liberty and privacy require an independent judicial determination of an
incompetent mental patient's best interests before the superior court
may authorize a facility like API to treat the patient with psychotropic
drugs. . . . [W]e hold that in future non-emergency cases a court may
not permit a treatment facility to administer psychotropic drugs unless
the court makes findings that comply with all applicable statutory
requirements and, in addition, expressly finds by clear and convincing
evidence that the proposed treatment is in the patient's best interests
and that no less intrusive alternative is available. (emphasis added).
Expecting that all that was going to happen was those two
statements were going to be added to the other pro forma statement in the
sham forced drugging proceedings (See,
Wetherhorn I case), PsychRights always intended to pursue whatever
follow-up cases seemed desirable as set forth in its
strategic
litigation plan as developed for
Alaska. In fact, the
Wetherhorn I case seeking to establish people's right to have attorneys
appointed who would actually work on their behalf in fighting forced drugging
was filed well before the Myers case was decided. On November
28,
2006, PsychRights became aware of the opportunity to subpoena secret Zyprexa
documents and needed a case from which to issue such a subpoena. Doing so
would potentially advance the national strategic agenda.Because of the confidentiality rights of people facing these
types of cases, on Thursday, November 30, 2006, I wrote to
the Alaska Psychiatric Institute (API), the Alaska Attorney General's Office,
the Public Defender Agency and the Court System requesting that people currently
facing such a proceeding be notified of PsychRights' availability. In
this letter I pointed out that the Public Defender Agency can only be appointed
if the defendant can't afford a lawyer and since PsychRights was willing to
represent them the court was without authority to appoint the Public Defender
Agency without determining whether they might want PsychRights to represent
them. Since normally 5-10 commitment hearings are held on Fridays (and
Tuesdays) , starting at 1:30 and ending by 4:30, I also informed them I would be
at API starting at 11:00 the next day, Friday, December 1st, to meet with
potential clients for the day's hearing(s) and stay there until the hearings
were over.
When I arrived, I started handing out the letter to visitors in
the hope that someone would take it through the locked doors and give it to
someone who was going through a forced drugging hearing that day. At about
1:00 pm I was handed a letter,
which indicated the day's hearings had been canceled. In an attempt to
intimidate me, the letter also accused me of a couple of ethical violations
including direct solicitation of clients. Since it is specifically allowed
for public interest law firms like PsychRights to solicit, it was not an ethics
violation.
I don't know why the hearings were canceled, but one can only
hope the court system is taking people's right to counsel of their choice more
seriously than API. It is a very serious matter to deprive someone
of their right to counsel of choice when the state is in court wanting to lock
someone up and forcibly drug them. The Myers
case last summer showed the Alaska Supreme Court certainly finds forcible
drugging a serious matter.
Over the weekend, I and a couple of volunteers handed out
flyers trying to get visitors to let
people locked up and facing a forced drugging hearing know of PsychRights
availability to represent them.
API's previous attempt to intimidate me being unsuccessful, on
Monday, I received an e-mail from Ron
Adler, CEO of API prohibiting us from distributing the flyers, citing a
state facilities management policy
that he interpreted as allowing him to ban me from continuing to hand out the
flyers.
I e-mailed him back
that now he was not only violating people's constitutional right to counsel
before being locked up and forcibly drugged, but now violating free speech
rights and that I was inclined to come by and not only hand out
the flyers tomorrow morning, but post them as well.
Mr. Adler responded by
e-mail, on December 5th, first directing that I only communicate with his
attorneys and then saying, "Of the 1,452 admissions we had last fiscal year, API
utilized the Court Ordered Medication process on 57 occasions" and that
"it doesn't get much better than that!!!"
I responded
that I wished that were true, but my conclusion was API, aided and abetted by
the Attorney General's Office, "has constructed a legal subterfuge to evade the
Myers decision of last June."
We were able to start running Public Service announcements and I
heard from someone in the hospital who wanted to talk to me.
I went out to talk to him and API staff would not give him any
of his legal paperwork and said he could not sign a "Release of Information" for
authorizing the hospital to give it to me because he had a guardian (Steve
Young) and the guardian had to authorize it. I informed the staff he had the
right to his paperwork and that API should consult with the Attorney General's Office.
I e-mailed Mr. Young to allow his ward to obtain his
own records and sign a release of information.
Assembly-line involuntary commitment hearings seem to have
resumed Tuesday, December 5th, without any response from the Presiding Judge about the
systematic deprivation of people's constitutional right to choice of counsel.
On December 6th, someone locked up at API and being forcibly
drugged was able to get to me and
PsychRights took his case.
On December 7th it appeared that API is filing for
guardianships to subvert the Myers decision with the Office of Public
Advocacy (OPA), the public guardian, granting "consent" to the forced drugging.
I wrote the head of the Public Guardian
Section of OPA stating that what they were doing is illegal and requesting that
he stop it.
On December 8th, I was informed API is not filing guardianships
on people in order to be able to forcibly drug its inmates. I have been
informed virtually everyone at API is being drugged so from my perspective how
API only filed petitions to obtain court authorization to forcibly drug its
inmates only 57 times out of 1,452 admissions is still unknown. However, on
January 8, 2007, former API
employee Dorothy Pickles wrote to the Palin Administration about what is going
on.
August 30, 2007, Forced
Drugging case against BB
Last modified 11/24/2021
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