Merck and/or Medco Retirement (401k) PlansLawsuit Filed To Recover Losses in Merck Stock by Retirement (401k) Plans October 22, 2004 – Cohen Milstein Sellers & Toll PLLC, Vianale & Vianale LLP and Sarraf Gentile LLP have filed a lawsuit on behalf of participants in retirement (401k) plans sponsored by Merck and/or its subsidiary Medco that invest in Merck stock (the "Plans"). The suit alleges violations of the federal pension law (ERISA) in connection with the loss of value in Merck's stock acquired and held by present and former employees of Merck and Medco through the Plans. The goal of this lawsuit is to restore losses in Merck stock to the Plans and the accounts of employees in the Plans. The lawsuit alleges that fiduciaries of the Plans violated their fiduciary duties from May 21, 1999 to the present, a period during which Merck failed to disclose material information concerning the safety profile of its drug Vioxx, by continuing to acquire and hold Merck stock when it was no longer a prudent investment because of safety issues related to Vioxx. As a result, Merck stock may have been acquired by the Plans at artificially inflated prices, as demonstrated by the precipitous decline in the stock price following the disclosure of this information related to the safety profile of Vioxx. The case was consolidated with a number of other action alleging ERISA violations with respect to the acquisition and holding of Merck stock in the Plans and on May 4, 2005 Cohen, Milstein, Hausfeld & Toll was appointed as a member of the co-lead counsel committee responsible for the litigation of the action. On August 2, 2005, a consolidated amended complaint was filed in the action a copy of which is attached. Merck and the other defendants moved to dismiss the consolidated amended complaint, but on July 11, 2006, the Court rejected the motion to dismiss and permitted the action to go forward. A copy of the Opinion is attached. The parties have reviewed documents relating to the allegations and are currently in the midst of discovery. On [date] Plaintiffs filed a motion for Class Certification. On February 9, 2009, the Court issued an Opinion granting class certification of all claims based upon allegations that the fiduciaries of the Plan breached their fiduciary duties by failing to prudently manage the Merck Plans. A copy of the Class Certification Opinion is attached.If you are a current or former employee of Merck, Medco Health Solutions or a subsidiary who acquired Merck stock through Merck & Co., Inc. Employee Stock Purchase and Savings Plan, Merck & Co., Inc. Employee Savings & Security Plan, Medco 401(k) Plan, Merck-Medco Managed Care 401(k) Savings Plan, or the Medco Health Solutions, Inc. 401(k) Savings Plan ("the Plans"), between May 21, 1999 and the present, interested in recovering losses, or if you have information which might assist us in the litigation of these allegations or information regarding the individuals responsible for the management of the Plans, please contact one of the following persons: Marc I. Machiz, Esq. mmachiz@cohenmilstein.com
Bruce Rinaldi, Esq. brinaldi@cohenmilstein.com
Abigail Scott, Paralgal, ascott@cohenmilstein.com
Cohen Milstein Sellers & Toll PLLC
1100 New York Avenue, N.W., Suite 500
Washington, D.C. 20005
Telephone: 888-240-0775 or 202-408-4600 |
