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ERIC Number: EJ1173666
Record Type: Journal
Publication Date: 2015
Pages: 39
Abstractor: ERIC
ISSN: ISSN-0896-5811
A Stealth Drug Recall: Who Protects Consumers and Shareholders?
Monseau, Susanna; Lasher, Nancy
Journal of Legal Studies Education, v32 n1 p91-129 Win 2015
In September 2010, William Weldon, chief executive officer (CEO) and chairman of Johnson & Johnson (J&J), was called to testify in front of the Committee on Oversight and Government Reform to explain the largest product recall in the 125-year history of the well-known pharmaceutical and consumer products company. This article presents a case study that uses the public testimony from two hearings before the Congressional Committee and other public documents to trace the story of the recalls and cover-ups related to Motrin and Tylenol products from 2008 to the Consent Decree in 2011. The case facts are followed by three additional sections: the first section provides background on the Food and Drug Administration (FDA) and the regulatory process for pharmaceuticals, including details of the standard of current good manufacturing practices; the second section provides a primer on corporate governance together with a discussion of J&J's board of directors and board committee structure; and the third comprises a teaching note. J&J is a well-known public company, familiar to most students. The authors have used this case with great success in legal environment and business ethics classes to stimulate discussion on ethics, corporate governance, and the role of regulatory agencies like the FDA. The authors provide students with the case facts and ask them to answer some of the questions before class so that class time can be used to discuss the issues.
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Publication Type: Journal Articles; Reports - Descriptive; Guides - Classroom - Teacher
Education Level: Higher Education
Audience: Teachers
Language: English
Sponsor: N/A
Authoring Institution: N/A
Grant or Contract Numbers: N/A