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GSK Faces Lawsuit Over Generic Drug After 7th Circuit Ruling

The Wall Street Journal's Ed Silverman reports on a rare ruling: brand-name drug manufacturer GlaxoSmithKline must face a Paxil lawsuit from a plaintiff who took the generic version of the drug.

The U.S. Supreme Court has held that generic drugmakers can't be held liable for failing to warn consumers of the risk of their products because they have no authority to change the label approved by federal regulators for the brand-name version.

But the Seventh Circuit denied a bid by GSK to dismiss the lawsuit even though the plaintiff took a generic version of Paxil, WSJ reports. GSK's liability stems from designing and labeling the drug, WSJ further reports.