Dow Chemical to Pay $3.9 Million in Implant Case

Dow Chemical Co. was found liable for faulty silicone breast implants Saturday and ordered to pay a woman $3.9 million in damages in the first implant verdict against the parent of Dow Corning Corp.

Charlotte Mahlum, who said her ill health was due to leaky implants, was awarded compensatory damages. The same jury will consider punitive damages on Monday.

The state court jury found that Dow Chemical “fraudulently concealed” the dangers of silicone and “substantially assisted” Dow Corning Corp. in testing materials used in breast implants.

Dow Chemical, based in Midland, Mich., and Corning Inc. of Corning, N.Y., are co-owners of Dow Corning Corp., one of the largest makers of silicone breast implants.

Dow Corning filed for Chapter 11 bankruptcy protection in May, saying it lacked the resources to fight litigation filed on behalf of thousands of women who blame implants for health problems.

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A federal judge ruled in September that the cases against Dow Chemical and Corning can proceed despite the Chapter 11 filing. This is the first verdict since then.

“It’s a tremendous victory,” said Fredric Ellis, one of Mahlum’s lawyers. “This jury ruled that when you learn something is hazardous, you have a duty to disclose it. This is a precedent-setting case and the verdict is going to encourage a lot of other women to file similar lawsuits against Dow.”

About 10,000 similar cases are pending. Dow Chemical said it plans to appeal to the Nevada Supreme Court.

Mahlum, 46, who lives in Elko, Nev., sued Dow Chemical and Dow Corning in 1993, alleging that her implants caused health problems, including skin disorders, muscle pain, tremors and incontinence.

During the four-week trial, Dow Chemical lawyers argued that the company never made or distributed silicone breast implants. They claimed they were made by Dow Corning, and that Dow Chemical couldn’t be held responsible for the actions of another company.