Reese Marketos Wins $1.64B False Claims Act Judgment Against Johnson & Johnson Unit

April 2, 2025

On March 28, 2025, Reese Marketos secured a $1.64 billion False Claims Act judgment for two whistleblower clients in the pharmaceuticals industry who blew the whistle more than a decade ago on their employer, Janssen Products. It is believed to be the largest False Claims Act judgment in history.

The ruling follows a $150 million verdict that a federal New Jersey jury awarded clients Jessica Penelow and Christine Brancaccio, on behalf of the United States, in June 2024 following a six-week trial led by Reese Marketos. Co-counsel at Berger Montague hired RM in 2022 to take the case to trial after litigating the matter for more than a decade.

In his March 28 ruling, U.S. District Judge Zahid N. Quarashi of the District of New Jersey trebled the jury’s actual damages award to $360 million, as required under the False Claims Act, and assessed penalties against Janssen in the amount of $1.28 billion – $8,000 for reach of the 159,574 false claims the jury found Janssen caused to be submitted to the federal government related to two of its HIV medications.

“This trial required relentless preparation and courtroom advocacy to stay on top of Janssen’s never-ending excuses and blame-shifting,” Reese Marketos partner Pete Marketos said. “Beyond bringing well-deserved justice for our clients, this ruling also marks a great day for Medicare and U.S. taxpayers.”

The RM trial team also included Josh Russ, Andrew Wirmani, Adam Sanderson, and Whitney Wendel.

RM and Berger Montague’s success in this case, as well as a $100 million settlement the firms obtained against PharMerica in 2024, led The Anti-Fraud Coalition to honor the firms with its 2024 Lawyers of the Year Award.

For more information on the ruling, please view Reese Marketos and Berger Montague’s joint release here: https://www.prnewswire.com/news-releases/berger-montague-and-reese-marketos-win-1-64-billion-false-claims-act-judgment-302415967.html

 

Media coverage of the judgment (subscription required for some publications)

Reuters: https://www.reuters.com/sustainability/johnson-johnson-unit-ordered-pay-164-billion-hiv-drug-marketing-case-2025-03-28/

The Texas Lawbook: https://texaslawbook.net/reese-marketos-janssen-judgment/

Bloomberg Law: https://news.bloomberglaw.com/federal-contracting/janssen-liability-increased-to-1-6-billion-in-drug-fraud-suit

CNBC: https://www.cnbc.com/2025/03/28/jj-janssen-false-claims-hiv-drug-marketing-case-.html

Law360: https://www.law360.com/trials/articles/2317383/janssen-owes-additional-1-5b-in-hiv-prescription-trial

New Jersey Law Journal: https://www.law.com/njlawjournal/2025/04/02/16-billion-awarded-lawyers-build-record-setting-case-against-janssen/