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SOUTHEAST TEXAS RECORD

Saturday, May 18, 2024

Justices keep New Jersey pharmaceutical company in Texas opioid MDL

State Court
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HOUSTON - The 14th Court of Appeals yesterday affirmed a ruling denying a New Jersey pharmaceutical company’s special appearance in opioid litigation currently housed in a Harris County MDL. 

Over the past several years, numerous Texas counties have sued multiple companies that manufacture, distribute, or sell opioids. 

In separate actions, Dallas and Bexar Counties sued Amneal Pharmaceuticals, Inc. (API) and Amneal Pharmaceuticals, LLC (Amneal). 

The Amneal defendants appealed to the 14th Court after the denial of their special appearances, arguing that the trial court erred. 

“We conclude that Amneal’s Texas contacts satisfy the requirements of the ‘stream-of-commerce-plus’ test for purposeful availment and the Counties’ claims are related to those contacts,” the opinion states. “Litigating those claims in Texas comports with traditional notions of fair play and substantial justice.” 

Justices further found that API lacks Texas contacts of its own, and the counties failed to show that API is Amneal’s alter ego so as to impute Amneal’s contacts to it. 

“Thus, we affirm the denial of Amneal’s special appearance, reverse the denial of API’s special appearance, and render judgment dismissing API without prejudice,” the opinion states.   

Appeals case Nos. 14-23-00202-CV and 14-23-00203-CV

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