California, FTC Hit Drugmakers With Antitrust Lawsuit
On Monday, California Attorney General Jerry Brown (D) and the Federal Trade Commission filed an antitrust suit against Solvay Pharmaceuticals alleging that it worked to keep generic versions of its testosterone therapy from being sold, Los Angeles Business reports.
The suit maintains that Solvay reached agreements with Watson Pharmaceuticals, Par Pharmaceuticals and Paddock Laboratories to keep generic versions of AndroGel off the market until 2015 (Poole, Los Angeles Business, 2/2). According to the suit, Solvay paid the companies millions of dollars under the agreements.
Brown said the move has cost consumers millions of dollars (AP/San Francisco Chronicle, 2/2).
Suit Details
The suit contends that all four pharmaceutical companies violated U.S. and California antitrust laws and laws barring unfair competition.
Citing the California Unfair Competition Act, the suit seeks to fine the defendants $2,500 for each prescription and user of AndroGel in California (Los Angeles Business, 2/2).
Solvay Response
Solvay spokesperson Neil Hirsch said that the company believes its agreements with the other manufacturers were lawful (AP/San Francisco Chronicle, 2/2).
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