All posts by Ocean-Leigh Peters

The complaints are piling up against a popular birth control method

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Despite multiple lawsuits in Canada and the United States, and warnings from Health Canada and the FDA, reports of complications from Mirena, a popular method of birth control, have increased by 81 per cent in Canada since 2009.

Mirena is a small plastic T-shapped birth control that is inserted into the uterus. Source: galleryhip.com
Mirena is a small plastic T-shapped birth control that is inserted into the uterus. Source: galleryhip.com

Mirena is an intrauterine contraceptive device (IUD) created by the pharmaceutical company Bayer. It’s a T-shaped birth control device that is inserted in a woman’s uterus with the intention to prevent pregnancy for up to five years. It was approved by the FDA in 2000 and by Health Canada a year later.

In 2009 there were 93 reports filed with Health Canada of adverse effects from the Mirena IUD. That number grew to 500 reports in 2013 alone. In the last five years almost 1600 reports of complications that were considered serious have been reported.

 

Since Mirena was approved, class action lawsuits against the IUD have been popping up across Canada and the United States. In Nova Scotia, Wagners law firm launched a case against Bayer in 2013.

Mike Dull, a lawyer on the case, says 30 women have already contacted them. All thirty women have had the Mirena IUD perforate their uterus or migrate to other parts of their body. Some have lost their ability to have children through the damage done by perforations or migrations, while Amy Tudor, the representative for the class, ended up with an unexpected pregnancy.

“They’re upset,” says Dull. “These ladies decided to put this particular product inside them and the ones that I’ve spoken with have had very serious consequences.”

On their website Bayer describes Mirena as “highly effective”, “convenient” and “reversible”. At the bottom of the page they warn, “Mirena may attach to or go through the wall of the uterus and cause other problems.”

The “other problems” that can be caused by perforation or migration range from pelvic inflammatory disease, to the risk of ectopic or intrauterine pregnancy.

In their product monograph, a written account of studies done on a product, Bayer says the chances of uterine perforation are between 1 in 1,000 and 1 in 10,000.

Last year alone Health Canada received 55 reports of uterine perforation caused by Mirena. Since 2009, there have been 239 reports of perforations from the IUD.

 

“The numbers are extremely low,” says Dull. “Those are people who took the active step in going and reporting to Health Canada.”

Kathleen, who asked to only be identified by her first name due to the personal nature of her experience, had her first Mirena IUD inserted six years ago and had complications. “The only complications I was warned about was prolonged spotting,” she says, “and it possibly falling out.”

Eight months after the insertion Kathleen says she had severe cramping and discovered the IUD had embedded itself into her uterine wall. She had to have it surgically removed. Five months after the surgery she had a second IUD inserted.

Nine months after the second insertion Kathleen found out she was pregnant. She says due to the scaring from the first Mirena she had an ectopic pregnancy which resulted in termination of the pregnancy. “The damages were assessed and I was told I would never conceive a child naturally,” she says.

Unexpectedly in 2013 Kathleen discovered she was pregnant and was sent to a high risk obstetrician. She had a complicated pregnancy due to the damage done by Mirena but fortunately gave birth to a healthy baby girl who is now six months old.

Dull says a small number of the 30 women who have joined the class action now have fertility problems due to Mirena.

“There are women who cannot have children because of this product,” says Dull. “That’s not what they intended of course when they put in a temporary birth control mechanism. They’re often younger girls as well and they will forever be suffering the consequences of that.”

According to Dull there are about four firms in Canada working on a class action against Bayer for the Mirena IUD. Wagners is working with two of them to potentially bring the class action to Alberta where they have an established case law for class actions and the court system is quicker.

In 2010 Health Canada, the FDA and Bayer all released safety information regarding Mirena. It was to clarify the potential risks of uterus perforation and migration of the IUD that were not made clear by Bayer previously.

Even though safety information has been released and updated since Mirena was approved in 2001 and lawsuits keep piling up, the number of adverse effects from Mirena continue to grow. In the first three months of 2014 there were already 18 reports of uterine perforation which makes up 20 per cent of the complaints.

Dull says he’s heard from some doctors who say Mirena is not fit for its intended use as a birth control method. “There’s other products out there that do the exact same thing,” says Dull, “and don’t carry with it the same risks.”

The Halifax Sexual Health Centre was contacted but they said they do not sell Mirena because it is too expensive for their patients so they would not be able to comment.

Going forward with the class action Dull believes that Bayer, even though he says they are denying all allegations, will defend the case for as long as possible and put off any sort of settlement, that way they can continue to make money off their product.

Dull also believes that Health Canada is partially to blame. “Health Canada in its regulatory regime, is intended of course to protect Canadians from devices like this and bad drugs, like the FDA does in America,” says Dull, “They’re meant to do it, but I don’t know the last time they actually imposed anything on a medical device company.”

He hopes that with this class action will come change. He would like to see Health Canada investigate, hire experts and do a study to determine if Mirena is a product Canadians should be using.

It took her 10 years to come forward, but many never do

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It was nearly a decade before a woman came forward with information on the sexual misconduct of a Halifax psychiatrist. According to Statistics Canada only 12 per cent of sexual assaults are ever reported and often childhood sexual abuse is not reported until later in life.

Nancy Ross teaches in the department of social work at Dalhousie University and is researching how to make coming forward with reports of sexual abuse easier for women. She says it’s not uncommon for women to not open up about issues related to childhood sexual abuse until later in life.

“For some women they may not even recognize it as abuse at the time because they’re a child,” says Ross, “and often if it’s a care-giver or someone that they’ve trusted, they may not see it fully as abuse.”

Curtis Steele is the psychiatrist who lost his licence after a woman filed a complaint with the Nova Scotia College of Physicians and Surgeons 10 years after he allegedly took nude photos of her when she was a 14-year-old patient. She also filed a civil suit against him.

Steele went to high school in New York, according to his Facebook, before moving to New Orleans to attend Tulane University. He graduated in 1958 with his medical degree and went on to study at the same university for his psychiatric specialty.

In 1967 he was certified by the American Board of Psychiatry before moving to Nova Scotia, where he got his licence to practice medicine in the province.

According to the statement of action in the civil case against Steele, in 2003 the woman, who was then 14, was referred to him for symptoms of depression.

She went for eight session over the course of a year. In the settlement agreement from the college, it says the photos were not taken until the last session.

Ross says that a lot of women who are sexually abused by a doctor or someone in a position of trust and authority, might be afraid to come forward because doctors hold a lot of credibility. “To bring something forward that’s going to discredit them,” she says, “I think would take a lot of courage.”

She also says since Steele was the girl’s psychiatrist he would have had access to her personal feelings, making his sexual misconduct an even greater breach of trust.

Steele had his own private practice in Halifax on Coburg Road and worked at the Community Mental Health Clinic of the Capital District Health Authority. He was also a faculty member at Dalhousie.

Curtis Steele lost his licence to practice medicine in Nova Scotia after a woman came forward saying he took nude photos of her when she was 14.
Curtis Steele lost his licence to practice medicine in Nova Scotia after a woman came forward saying he took nude photos of her when she was 14.
(Photo: Facebook)

 

While Steele was treating her, the woman claims Steele said he was also a photographer. In her notice of action she says he asked if she wanted to do some modeling for him. She undressed and then he took photos of her. She never returned to see him.

Ross says there are many reasons why a woman wouldn’t come forward with information about childhood sexual abuse or not report it until later in life. They may not have known that what was happening was abuse, and even though it was not their fault they may feel shame or guilt. “So sometimes they try to bury it and not deal with it,” says Ross, “and a lot of times they just try to forget about it.”

The settlement agreement from the college, says Steele “lacked the necessary insight of psychiatrist in failing to immediately recognize the impropriety of taking the photos.”

Pattie LeCroix, the media contact for the college, says Steele’s case is rare among the complaints the college receives each year. In their annual report the college says they reviewed 217 physicians in 2013.

It may be a rare case for a doctor to be accused of sexual misconduct, but unfortunately it’s not rare for women in Nova Scotia to experience childhood sexual abuse. Ross says nearly one in four women will have experienced some form of sexual abuse in their life.

After Steele allegedly took the nude photos and stopped seeing the patient, he continued to work at the mental health clinic, operate his own practice and teach at Dalhousie for almost a decade. Until the patient came forward.

The woman, now in her early twenties, filed a civil suit against Steele in August of 2013 and filed a complaint with the college in September. His licence was suspended in December while the college investigated. He stopped working at the mental health clinic and retired from Dalhousie that same year.

There are many reasons why women finally do come forward, “but a lot of time I think it’s for their own personal sense of justice,” says Ross. She says it also shows themselves that they are valuable and it should never have happened, and some women feel it will help end the stigma and silence around sexual abuse.

Women who are sexually abused can experience depression, anxiety and often substance abuse says Ross, along with confusion about what is a healthy sex life, and it could affect their self-esteem and self-worth.

LeCroix says the college couldn’t speculate why it took this particular woman so long to come forward with the report of sexual misconduct, “but as soon as it comes to us we address it immediately.”

Eighty-eight per cent of sexual abuse is not reported to police according to Statistics Canada’s General Social Survey.

After the college investigated the claim and spoke with the woman and her parents, Steele’s licence to practice medicine was revoked and he is not eligible to apply for a new licence to practice in Nova Scotia at any time.

Women coming forward, like Steele’s former patient, and reporting sexual abuse is a step in the right direction. “I think every time you hold someone accountable for their actions and do so in a way that the public knows about it,” says Ross, “it has an impact.”

Ross says women often come forward later in life, because once they’ve matured it’s harder to suppress and they gain perspective realizing it was not their fault.

Ross says that Nova Scotia has a lot to do in order to make it easier for women to come forward. Including having a sensitive, kind and encouraging approach to helping women come forward and deal with their experience. And a broader education in schools that “normalizes the experience, because sadly it’s a fairly normal experience I think for women in Nova Scotia to experience a form of childhood sexual abuse.”

Building towards deferred tax

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Equipment depreciation plays a role in Potash Corp.'s deferred taxes. Photo credit: flowcontrolnetwork.com
Potash Corp invested more into their property, plants and equipment last year because they are trying to increase their potash production.
Photo credit: flowcontrolnetwork.com

Potash Corp Saskatchewan deferred paying most of their income tax in 2013, largely because they put a lot of money into new equipment. They say their larger contribution to their property, plant and equipment is because they are increasing their potash production.

Canadian potash exports in 2013 were close to $5.7 billion and Potash Corp. contributed with nearly $1.5 billion in offshore potash sales last year alone. In their 2013 annual integrated report they recorded their income taxes for the year to be $687 million.

Even though deferring taxes sounds like they are trying to avoid paying what they owe, Heather Sceles, an accounting lecturer at Saint Mary’s University, says it is a perfectly legal and common thing for a business to do.

Thanks to various deductions and assets, including those gained through their new property, plant and equipment increases, Potash Corp is able to put off paying a portion of their taxes for an undetermined amount of time.

Even though they do not have to pay all their taxes right now, Potash Corp still has to record what they owe for taxes in their 2013 annual report. That way it is clear to investors and accountants what the company’s financial obligations are in the future.

In 2013, Potash Corp made $2.4 billion before taxes. Through a combination of federal and provincial taxes that amount to almost 27 percent all together, they owe a grand total of $687 million in taxes for the year. But they only paid a little over a third of that number. In 2012 they paid $676 million in full.

So how could they hold off on paying the other $489 million?

There are a couple factors that play into that including their investment in their property, plant and equipment to help increase their potash production.

Potash Corp’s taxes came to $687 million in 2013, however, they only owe $290 million right away, but they only paid $189 million according to their annual report.

Sceles says a company’s income tax is based on an estimated income influenced by what they made in the past. So when the final numbers come out in the year end statement it is possible that too much or too little was paid in tax because the estimation could be more or less than a company’s actual income.

“They may have overpaid their taxes in the prior year, then they have less to pay this year,” says Sceles.

Because Potash Corp’s income in 2013 was less than 2012, the estimation was off so they only had to pay $189 million in taxes last year.

Then there is what is called deferred income tax, which is where the other $397 million owed in taxes comes. This is also where the investments in their property, plants and equipment is a benefit tax wise.

Sceles admits that deferred taxes are complicated and often hard to wrap your head around. “It’s a bit of a confusing topic,” says Sceles. “Our accounting majors even find deferred taxes a bit challenging.”

The main contributor to Potash Corp deferring their taxes in 2013 is their property, plants and equipment assets. $325 million of their deferred taxes comes new investments in their property, plants and equipment.

In 2013 Potash Corp transferred, which means either bought or built, more than $1.9 billion in machinery and equipment. In their annual report Potash Corp says 71 percent of

Potash Corp is building a new mine in New Brunswick that is almost finished. Part of their tax deductions comes from the investment in to the new mine.  Photo credit: potashcorp.com
Potash Corp is building a new mine in New Brunswick that is almost finished. Part of their tax deductions comes from the investment in to the new mine.
Photo credit: potashcorp.com

that went towards increasing potash production. From that new equipment Potash Corp gained tax deductions that can be spread over a number of years.

According to Potash Corp in a statement about their goals, “we initiated expansion and debottlenecking projects at all six of our potash mines.” This expansion includes a new mine and expanded mill in New Brunswick that is expected to be finished this year.

Equipment for the increase of potash production, however, is an asset that depreciates over time. The equipment gets older and depreciates and so does the tax deduction that comes with it. Potash Corp lists their equipment life span to be between three and 60 years.

Deferred taxes come in when a company’s accounting of depreciation for tax deductions is done differently than how the government accounts for it. Sceles explains that companies will spread the depreciation and deductions evenly over a number of years. The government, however, starts with a higher deduction in the beginning and it lessens over time as the piece of equipment depreciates.

Potash Corp put almost $2 billion into property, plant and equipment in 2013, and according to Sceles, their accountants recorded it at a lower depreciation than what their taxes show. So they are able to defer paying the difference. However, in the future they will have to pay more taxes because their accountant’s depreciation and deductions will be lower than what their taxes show.

Potash Corp.’s property, plant and equipment assets have been increasing steadily over the last few years as they buy and build new equipment and mines. 

“We kind of get a flavour that they are investing in their business,” says Sceles. “They have a lot of new equipment they’re putting into service and we know that for tax purposes you get a larger deduction when you’re equipment is newer in the earlier years because of this diminishing balance calculation.”

Even though Potash Corp was able to defer a large portion of their income tax in 2013 because they put more money into property, plant and equipment to expand their potash production, in the future they will potentially have to pay more in taxes because as the equipment ages, the tax deduction diminish.

A class action for inappropriate access of medical records is moving forward

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Both sides are getting ready to discover witnesses in a class action against South West Health for an employee accessing patients’ medical records without a medical reason

The class action case against South West Health for an employee accessing personal medical records was put into motion over two years ago. Photo: Ocean-Leigh Peters
The class action case against South West Health was put into motion over two years ago. Photo: Ocean-Leigh Peters

A class action against South West Health for inappropriate access to personal medical records is moving forward next week. The case is at the discovery phase where both sides will questions each other’s potential witnesses to get an idea of how they will proceed from there.

In 2011, 707 people received letters from the South West Nova District Health Authority saying their medical records were accessed by an employee without a medical reason. Among those people were Alicia Hemeon and Willa Magee, who are the representatives for the class action and will be questioned next week. “To know that an employee of South West Health inappropriately accessed my private

The class action against South West Health was certified last August after a judge reviewed statements and affidavits from Alicia Hemeon, Willa Magee and Janet Wile, the privacy officer and manager for the health authority. Photo: Ocean-Leigh Peters
The class action against South West Health was certified last August after a judge reviewed statements and affidavits from Alicia Hemeon, Willa Magee and Janet Wile, the privacy officer and manager for the health authority. Photo: Ocean-Leigh Peters

medical records is humiliating, distressing and heart-wrenching,” said Hemeon in an affidavit. In June of 2012, Blaise MacNeil the CEO of South West Health, released a statement saying “We sincerely apologize to all patients and the community that this breach of confidentiality has occurred. The confidentiality of patient information is of vital importance in South West Health.”

The class action certification states that the class consists of anyone who received a letter, including those who were later informed that that their records were accessed for legitimate reasons.

In the amended statement of claim, the class claims intrusion upon seclusion, vicarious liability and negligence.

“One of the elements to a successful intrusion upon seclusion is that the breach of privacy is highly offensive to a reasonable person,” says Mike Dull a lawyer from Wagners law firm who represents the class. “We say that the mere act of going into a person’s medical records inappropriately is highly offensive to a reasonable person.”

Since the case is ongoing South West Health was unable to comment at this time, but in their statement of defence they claim no intrusion upon seclusion because they deny that it is a free-standing tort in Nova Scotia.

Intrusion upon seclusion became a binding president in Ontario in 2012 says Hilary Young, a law professor at the University of New Brunswick in Fredericton. She says that with new technology, claims such as trespassing may not be enough to cover all forms of privacy breach.

“I think there’s a good chance that the courts will recognize it in Nova Scotia,” says Young. “If I were betting, I would bet that they would adopt it because there’s no good reason not to.”

South West Health has asked for this claim to be dismissed in their statement of defence because it is not recognized. If not, “South West Health specifically denies that there was a significant invasion of private records… as many individuals’ records were viewed on only one occasion and/or for less than one minute.”

The class is also claiming vicarious liability against South West Health. “Vicariously liability is when you hold someone, usually an employer, legally responsible for someone else’s act,” says Young.

She says the plaintiffs would have to prove two things for this to apply. That the relationship was employee and employer, and that the actions were within the scope of the employee’s employment.

Mike Dull, lawyer for the plaintiffs, says the class members have sympathy for the employee who accessed their medical records. "Our clients don't want to rub salt in her wounds or kick her while she's down, whereas the health authority are big boys and they can handle it." Photo: Ocean-Leigh Peters
Mike Dull, lawyer for the plaintiffs, says the class members have sympathy for the employee who accessed their medical records. “Our clients don’t want to rub salt in her wounds or kick her while she’s down, whereas the health authority are big boys and they can handle it.” Photo: Ocean-Leigh Peters

“I think clearly the employee is liable,” says Dull, “but she, you understand, is a young girl now unemployed living in the south shore who doesn’t have of course the resources to compensate the 700-and-some people… so we turn of course to her employer.”

In their statement of defence South West Health claims they are not vicariously liable because “any actions alleged by the Plaintiffs and Class Members were unauthorized, deliberate and intentional actions taken by (the employee), unrelated to the work assigned to her.”

They also say that they have policies and procedure in place to managed personal medical records and that their employees are trained how and when to appropriately access them.

“They say she acted on an isolated, kind of rogue basis,” says Dull. “So the case really will turn on that question.”

Young says that it may be tricky for South West health to prove that the employee’s actions were not related to her job at the hospital.

Negligence on the part of South West Health is also being claimed in the class action against them. “Negligence means that… you acted unreasonably and because you acted unreasonably in a certain way someone was injured as a result,” says Young.

In this case, the injury to Hemeon and Magee, as well as the other class members, is not physical but rather emotional because their records were accessed by a health authority that they trusted.

Dull says when class members started contacting the firm their main complaint was that South West Health supposedly knew this breach of privacy was happening for a while and did not address it. This fits into their claim of negligence.

They also claim that because the employee was put in a position where she could look at patients’ medical records for what Dull says is “way to long a period”, they were being negligent.

South West Health denies any negligence on their part because they claim they “operated in accordance with the standards and practices generally known, and in place at the relevant time.”

They also say that they have policies and procedures that were made know to all staff members stating that they are responsible for protecting the privacy of patients’ personal information. This Thursday the case moves into what is called discovery where both sides will be able to question potential witnesses.

“They basically get to interview them to get a sense of what their answers will be to certain questions,” says Young, “and that will help them decide what their strategy will be for any trial. So no surprises.”

Dull is hoping for a trial early next year. “I suspect the health authority wants to delay this as long as possible, it’s big liability for them.”

Case timeline