Story perspectives

Supreme Court Allows $7 Billion RICO Case Against Takeda, Eli Lilly

3/25/2026

Summary

Story summary

The U.S. Supreme Court allowed a RICO lawsuit against Takeda Pharmaceutical Co. and Eli Lilly and Co. to proceed over Actos marketing, linked to bladder cancer.
The court dismissed the appeal and affirmed rulings certifying a class of third-party payers seeking damages.
Led by Wisner Baum, the case could exceed $7 billion in penalties.
A trial is anticipated in 2026, with plaintiffs seeking funds they allege were misappropriated.

History

Historical Context

Enacted on October 15, 1970, the Racketeer Influenced and Corrupt Organizations (RICO) Act aimed to combat organized crime by allowing federal prosecution of racketeering activities. Initially targeting the Mafia, its application has expanded to include corporate misconduct, as seen in the $7 billion lawsuit against Takeda Pharmaceutical Co. and Eli Lilly and Co., reflecting ongoing scrutiny of corporate accountability in the pharmaceutical industry.

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Story summary

The U.S. Supreme Court allowed a RICO lawsuit against Takeda Pharmaceutical Co. and Eli Lilly and Co. to proceed over Actos marketing, linked to bladder cancer.
The court dismissed the appeal and affirmed rulings certifying a class of third-party payers seeking damages.
Led by Wisner Baum, the case could exceed $7 billion in penalties.
A trial is anticipated in 2026, with plaintiffs seeking funds they allege were misappropriated.

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