B&L still stuck in solution disaster battle

-Rochester Chronicle

01/06/2008 - The 2006 recall of a contact lens solution linked to the outbreak of a rare eye infection continues to haunt Bausch & Lomb Inc.

Issues surrounding ReNu with MoistureLoc have already dealt a financial body blow to the world's largest eye care company. The recall was the driving factor behind a more than 20 percent profit reduction in 2006 for the Rochester company.

And at least one analyst estimated legal damages associated with the infections and recall could reach $1 billion.

Now, B&L attorneys are seeking a federal court order that four insurance companies must help pay the costs of more than 1,000 pending lawsuits related to MoistureLoc.

The companies have declined to make any payments, B&L attorneys wrote in a lawsuit filed in federal court in Rochester.

"Bausch & Lomb is defending itself against the MoistureLoc claims with no contribution whatsoever from the insurer defendants," attorneys for B&L wrote.

B&L spokesman Michael McDougall declined to comment on the lawsuit Friday.

Two of the companies, Ace American Insurance and Illinois Union, have filed a countersuit. The other two, Lexington Insurance and Steadfast Insurance, are expected to respond to the B&L lawsuit by Jan. 15.

Bausch & Lomb was purchased by Warburg Pincus, a private equity firm, late last year and no longer trades on the stock market. Analysts said part of the rationale for B&L going private was so it could deal with the MoistureLoc lawsuits outside of Wall Street's scrutiny.

Lawyers for the Ace and Illinois companies denied the insurers are obligated to cover claims against B&L or help in the company's defense.

They said that B&L officials knew about the possible connection between MoistureLoc and the infection several months before the recall, and that any injuries were not "accidents."

Ennis & Ennis, P.A. is representing individuals that have experienced an eye infection during or after use of Bausch & Lomb ReNu MoistureLoc Saline Solution. If you or a loved one have used Bausch & Lomb saline solution you may be entitled to compensation. Click here for a free, confidential case evaluation.

Free Case Evaluation. Nationwide: 1-800-856-6405