Pfizer Shareholder Derivative Litigation
In re Pfizer Shareholder Derivative Litigation, No. 09-CV-7822 (JSR) (S.D.N.Y.). In 2011, the firm was involved in the historic settlement of a derivative action which included a $75 million financial recovery, one of the largest cash payments ever recovered in a shareholder derivative suit. The action arose from the 2009 announcement that Pfizer, Inc. agreed to have a subsidiary: (1) plead guilty to a felony and (2) pay the largest criminal fine in U.S. history and the largest civil fraud settlement involving any pharmaceutical company, to resolve investigations into alleged improper marketing practices with respect to numerous drugs over a multi-year period. The settlement also provided for numerous significant changes to Pfizer’s corporate governance structure and compliance processes.