Philips Respironics reached a $479 million class action settlement to resolve economic loss claims related to its massive 2021 recall of approximately 15 million CPAP, BiPAP, and mechanical ventilator devices. The litigation stemmed from systematic defects in the devices' sound abatement foam, which could degrade and release black particles and toxic chemicals—such as toluene diamine and diethylene glycol—directly into the user's air pathway. While this specific settlement addressed financial losses like device replacement costs and diminished value, a separate $1.1 billion agreement was reached to resolve related personal injury claims.
Who Was Eligible for the Philips Settlement?
The settlement covered a wide range of individuals and entities impacted by the recalled devices.
- Individual Users: Any person in the U.S. who purchased, leased, rented, or was prescribed a recalled device.
- Eligible Payers: Insurers, self-funded employers, and other third-party payers who reimbursed payments for the recalled devices.
- Recall Dates: The settlement addressed devices purchased or leased prior to the preliminary approval filing on September 7, 2023.
Final Compensation Tiers and Awards
Participants were eligible for multiple forms of financial relief based on their interaction with the recall program.
- Device Return Award: Users who returned their recalled devices to Philips by the August 2024 deadline were entitled to a flat $100 payment for each device.
- Device Replacement Award: Individuals who spent personal funds to purchase a comparable replacement device between June 14, 2021, and September 7, 2023, were eligible for additional reimbursement.
- Accelerated Implementation Option (AIO): Users who returned their devices before the final deadline qualified for quicker processing and did not require a separate claim form for certain base awards.
- Medical Monitoring: A separate $25 million fund was established to provide long-term health surveillance for exposed individuals over a 15-year period.
Case Conclusion and Payout Status
The claim window for the economic loss settlement has officially concluded, though administrative processing continues.
- Claim Deadline: The final deadline for users and third-party payers to submit a claim form was August 9, 2024.
- Final Approval: The court issued final approval of the settlement on April 25, 2024.
- Payment Distribution: Distributions for the "Device Payment" and "Device Return" awards began in 2024. The settlement administrator has confirmed that remaining payments for reviewed claims will continue to be issued on a rolling basis through the end of 2025.
Related Active Litigation in 2025
While the economic loss filing window is closed, other components of the Philips mass tort remain active.
- Personal Injury Registration: A separate private settlement program for personal injury claims remains in process, with a final registration deadline of January 31, 2025.
- MDL 3014: The broader multidistrict litigation continues to manage complex liability across various remaining injury categories.
