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Just received an interesting call from Abbott...

Discussion in 'Continuous Glucose Sensing' started by lightnng, Apr 8, 2010.

  1. lightnng

    lightnng Approved members

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    I am quoting the blog entry I just posted:
    ==
    Thursday, April 08, 2010

    Abbott's offer - sounds like a buyout to me

    I just received a call from Abbott Diabetes Care, the folks in charge of the Navigator.

    They let me know that at this time, they have no expectation of resumption of supply any time soon.

    But this is where it gets interesting. They also offered a "refund" for the system of $2,000 (!), plus an additional refund for any sensors I may have lying around, PLUS a 90-day supply of strips and new regular meter.

    Holy moly. Sounds like a buyout to me.

    So I asked questions. The information I did get was:

    - Abbott is not pulling the product off the market. Systems that are working will continue to be supported.
    - The inventory interruption is the result of an internal investigation into product quality issues.
    - They do not have or do not know a time table for when the issues will be resolved.

    They then suggested I contact my doctor to get a scrip for a competing product from another manufacturer. Those were her exact words.

    Wowza. At least now we know; the product qualify problems have resulted in a decision to halt production of the system in order to allow a redesign. And the $2,000 offer sounds like a buyout of sorts... hush money. "Here, let's toss a couple grand at you folks, just don't sue us" is what it screams out to me.

    So; at this point I do not expect a replacement, but rather a completely new system when they finally come out with one. And the class-action sounds more tempting with every passing day.
     
  2. Nancy in VA

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    The need to offer the "buy out" because its in warranty and they can't honor the warranty at this time. I guess maybe they've realized that the delay is too long and they WILL have legal problems if they don't offer the buy-back
     
  3. selketine

    selketine Approved members

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    They called me this afternoon and repeated the same exact offer as detailed above. They said they do plan to continue support for the product at a future date but they cannot say what the date will be. If I stay with Abbott - it is an indefinite wait.
     
  4. sneakermom

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    This absolutely sucks! I already called our Dexcom rep to see if she could send me a sample sensor. We already have the 7+ system but couldn't get it working right for us in the past. Now this?! It is criminal that they can get so many people relying on their products and then just quietly stop production and offer hush money. When do they plan to inform people who have working units that they will no longer be able to obtain sensors? I've heard issues of backorders on those now as well. Beyond disappointed with Abbott. I'm not sure I could regain trust in a company who handled such an enormous situation so poorly after this.
     
  5. lightnng

    lightnng Approved members

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    I agree, except that I used to be on the Dex and unfortunately it has issues that made it nowhere near as useful as the Nav for me.

    Their lack of communications is extremely frustrating, and I believe at this point it has become an issue that warrants much more significant action. As my post mentions, I am seriously considering class-action; I have started a search for a class-action lawyer who might be interested in this.
     
  6. BrokenPancreas

    BrokenPancreas Banned

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    I got the dreaded call also.
    I was crying so much, I sounded like an idiot.

    Is the 2000 buck they are sending for us, or do we send it back to the insurance company?

    I ask, because, I can't get approved for the Dex, I'm going to have to buying a crap load of strips.
     
  7. BrokenPancreas

    BrokenPancreas Banned

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    If it's a buyout, why would they tell everyone to go to a competitor?

    If I go with the Dex, and then the Nav comes out again, my insurance company isn't going to just flip flop all the time!
     
  8. BrokenPancreas

    BrokenPancreas Banned

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    Wowza. At least now we know; the product qualify problems have resulted in a decision to halt production of the system in order to allow a redesign. And the $2,000 offer sounds like a buyout of sorts... hush money. "Here, let's toss a couple grand at you folks, just don't sue us" is what it screams out to me.


    Sorry if I'm repeating myself.
    Do we keep the money as "hush money" or do we have to send it back to the insurance company? OR.. are they refunding the insurance company, and this is what they are sending us also?
     
  9. selketine

    selketine Approved members

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    I didn't hear that they plan to stop making the sensors. I am not sure how available the sensors are. It didn't seem like too many people were reporting problems.
     
  10. selketine

    selketine Approved members

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    They send the check to you - you have to figure out how to handle it with your insurance company.

    Did you not get approval for the Dex? It sounds like the $2000 is to go out and buy another system so you aren't without one. This is what they said to us.
     
  11. Diana

    Diana Approved members

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    I'm just curious - are you guys still "officially" in warranty? I know Abbott has been replacing parts for people well past the official warranty period. I'm wondering if they are extending this offer to everyone who is waiting or just those in the official warranty period.

    This is really awful. I really, really hope the Navigator doesn't totally go away.
     
  12. lightnng

    lightnng Approved members

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    From what I understand, they send it to you in exchange for your useless Nav unit. They don't care how you got it, so the money isn't going to the insurance company (making the notion of a "refund" amusing).

    It also sounds like a great way to get rid of potential evidence in a lawsuit.

    That's why it sounds like hush money to me. They are buying your good will. And I have to say, $2000 is going to buy good will from a lot of people. So one thing is clear: their legal department is both worried AND good at what they do. Me, I think if they are offering that, they will end up paying ten times that or more (per person) to settle a class-action. And at this point I'm pissed enough to go for it, since it doesn't look like I'll ever get a working system from them.
     
  13. lightnng

    lightnng Approved members

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    I asked about that too.

    The lady said they currently have a date of 5/1 for sensor shipments to be renewed, but that right now they are not available from Abbott (so if you're getting them it's because they are in the supplier's warehouse).

    Based on the rest of my experience with this - I wouldn't hold my breath for the 5/1 date on these either.
     
  14. hawkeyegirl

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    Honestly, in class-action lawsuits, it's generally only the lawyers who make much money. There are exceptions, of course, but this isn't going to be one of them.
     
  15. Nancy in VA

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    I guess I just don't see where a lawsuit would go anywhere. This was the same conversation that was held a couple of months ago with someone upset that the Pelikan was being discontinued. They are offering you more than your money back, even though you have had some use of it. Yes, they have a warranty but if they can't create an FDA approved product in order to satisfy that warranty, this is their only solution. If they DIDN'T offer the money, that would be something that could be sued over, but they are saying, "we can't honor your warranty, we're sorry, but here's every penny you've given us so you are out nothing". You can't sue over them not being able to produce a product that meets FDA requirements, which is the fundamental issue here.
     
  16. BrokenPancreas

    BrokenPancreas Banned

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    Karla
    I'm sorry, I'm confused.
    You think that a class action would make money or Not?
    What would you do?
    Would you take the 2 grand, or take part in a class action if it happens
     
  17. BrokenPancreas

    BrokenPancreas Banned

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    I will send all the money to insurance to get the Dex.
    My question, how long until I get a Dex?
    How many hoops do I have to jump to get her the Dex?
    I don't know if she's approved yet, I just called the MSC about thirty minutes ago?!
     
  18. selketine

    selketine Approved members

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    I really like the Navigator so I would rather just have that if I had my choice of anything. Our Navigator warranty was technically up April 6th I guess - it broke while still in warranty though.

    If we decided to wait it out for a few more months - what do you think the chances would be that Abbott would pull their $2000 offer off the table?

    I agree that my insurance company would just - not know what to do if I wanted to switch.

    I think the OP said she can't use other systems (or at least the Dex - I can't remember) - I guess that makes gambling on a class action suit more appealing.
     
    Last edited: Apr 8, 2010
  19. lightnng

    lightnng Approved members

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    Ah.

    But they DO have an FDA approved product. The Navigator IS approved by the FDA.

    And I have enough documentation to prove conclusively that my diabetes management has become dependent on the device. I am certain many others can show the same.

    They have multiple liabilities here, and they are quite significant, and a jury is just going to love to hear about the big bad pharma company screwing with people's health just because they don't like how poor their market penetration efforts have been, not to mention the high cost of warranty due to some reliability problems. And they would surely also appreciate the company's decision to pull the plug on the existing product line - medically proven and fully approved by the FDA - until they finish their redesign and related QA efforts so they can stem the losses from the reliability issues in the existing version, rather than just continue to make the existing product until the new version is finalized. Oh, I just KNOW the jury would love to hear all that.
     
  20. still..hopeful

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    I guess I have been out of the loop. What exactly is going on with the Navigator? What problems has everyone been having? We are in a study through Nemours and use the Navigator. We have problems with alarms going inactive and calibrating issues sometimes but I wouldn't think that would be enough to stop production. Am I missing something?? We are suppose to be in the study until May, I guess I will wait and see if the research department calls. Hmm
     

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