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Glaxo Said to Have Paid $1 Billion Over Paxil Suits

GlaxoSmithKline Plc has agreed to pay more than $1 billion to resolve more than 800 cases alleging its Paxil antidepressant caused birth defects in some users’ children, according to people familiar with the settlements.

The accords, which provide an average payout of more than $1.2 million to families of affected children, leave more than 100 birth-defect cases pending, the people said. Officials of Glaxo, the U.K.’s biggest drugmaker, said July 15 they set aside $2.4 billion to resolve litigation over Paxil and its Avandia diabetes drug.