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Johnson & Johnson hit with class action over medication that ‘doesn’t work’

Pharmaceutical giant Johnson & Johnson has been slammed with a class action after it was revealed that a key ingredient in several of its cold and flu products is allegedly ineffective when taken orally.

user iconLauren Croft 02 January 2025 Big Law
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A class action has been filed against Johnson & Johnson, after a drug in its oral cold and flu medication brands Codral Cold & Flu, Sudafed PE and Benadryl allegedly doesn’t work when taken orally.

Boutique class action firm JGA Saddler alleges in the claim that Johnson & Johnson has been knowingly marketing and selling ineffective medicines. Phenylephrine is a drug the company has marketed and sold as a decongestant for years and is a key ingredient in Codral Cold & Flu, Sudafed PE and Benadryl.

However, growing evidence has caused the Food and Drugs Administration (FDA) in the United States to propose an outright ban because the body believes the drugs when taken orally, don’t work.

JGA Saddler director Rebecca Jancauskas said it was a case of Johnson & Johnson putting profits first.

“Customers should be able to confidently buy medicines that work as advertised and when they don’t, the company involved should be held accountable. Johnson & Johnson has manufactured and marketed a medication that decades of evidence have shown doesn’t work as claimed, relying on outdated, fallible studies to sell the Australian public products that don’t do what they claim on the packet,” she said.

“Australians have trusted these products to work as advertised and wouldn't have bought them if they realised they were ineffective at treating congestion.”

Pseudoephedrine, which is a decongestant which is effective when taken orally, was moved behind the counter in 2006 over concerns it was being used in the manufacture of illicit drugs, with phenylephrine being quickly marketed as a substitute.

But Brisbane ear, nose, and throat specialist Dr Jo-Lyn McKenzie said the marketing of phenylephrine as an oral decongestant didn’t live up to the reality.

“It’s unconscionable and deeply unethical for corporations to sell healthcare products while knowing they don’t work. This practice erodes trust in a space that depends on consumer confidence. When patients feel misled or duped, they may begin to question the validity of evidence-based treatments that are genuinely effective,” she said.

“This situation serves as a reminder for Australian consumers to be cautious and informed. Rather than relying on direct-to-consumer advertising, take the time to have meaningful conversations with health professionals who can provide evidence-based recommendations.”

This case is backed by global litigation funder Omni Bridgeway – and investment manager Niall Watson-Dunne said it was important companies are held to account when they breach the guarantees owed to consumers.

“For around 19 years, Australians have been sold cold and flu products to relieve their symptoms, despite studies and scientific evidence showing their key ingredient phenylephrine is ineffective when taken orally,” he said.

“Australians deserve better.”

JGA Saddler is urging all Australians who purchased any of the below Johnson & Johnson products at any time since 2005 to register for the class action.

The class action applies to the following 20 products:

  • Codral Cold & Flu
  • Codral Cold & Flu + Dry Cough
  • Codral Day & Night
  • Codral Day & Night + Dry Cough
  • Codral Night
  • Codral Plus Mucus + Cold & Flu
  • Codral Cold & Flu (powder sachet)
  • Codral Dry Cough + Cold (liquid medicine)
  • Codral Cold & Flu + Mucus Cough (powder sachet)
  • Codral Mucus Cough + Cold (liquid medicine)
  • Codral Cold & Flu + Mucus Cough
  • Codral Decongestant
  • Sudafed PE Nasal Decongestant
  • Sudafed PE Sinus + Allergy & Pain Relief
  • Sudafed PE Sinus + Anti-inflammatory Pain Relief
  • Sudafed PE Sinus + Pain Relief
  • Sudafed PE Sinus + Pain Relief Day + Night
  • Sudafed PE Night
  • Benadryl PE Dry Cough & Nasal Congestion
  • Benadryl PE Chesty Cough & Nasal Congestion
  • Benadryl Mucus Relief Plus Decongestant

Lauren Croft

Lauren Croft

Lauren is a journalist at Lawyers Weekly and graduated with a Bachelor of Journalism from Macleay College. Prior to joining Lawyers Weekly, she worked as a trade journalist for media and travel industry publications and Travel Weekly. Originally born in England, Lauren enjoys trying new bars and restaurants, attending music festivals and travelling. She is also a keen snowboarder and pre-pandemic, spent a season living in a French ski resort.

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