Washington could receive more than $12 million as part of a proposed $400 million settlement with two generic drug manufacturers accused of conspiring to inflate prices and reduce competition, according to the Washington Attorney General’s Office.
Attorney General Nick Brown joined a bipartisan coalition of 43 states and territories seeking court approval of the settlement with Sandoz Inc. and Fougera Pharmaceuticals Inc. The coalition filed a motion for preliminary approval Oct. 1 in U.S. District Court for the District of Connecticut.
The proposed settlement could also provide compensation to consumers who purchased certain generic prescription drugs between May 2009 and December 2019.
“Conspiring to charge Washington consumers more for the medicines they need is illegal and cruel,” Brown said. “Elected officials must work together to hold drug companies accountable and support consumers.”
The states allege that the companies participated in long-running schemes to artificially inflate and manipulate generic drug prices while reducing competition.
The settlement would also resolve allegations involving Sandoz’s past and present international affiliates, Novartis AG, Sandoz AG and Sandoz Group AG. The states allege the affiliates participated in anticompetitive conduct and fraudulently transferred assets to avoid liability.
Under the proposed settlement, Sandoz would also agree to internal reforms intended to promote competition and compliance with antitrust laws.
Washington’s share of the settlement would be more than $12 million, according to the Attorney General’s Office.
Consumers who purchased a generic prescription drug between May 2009 and December 2019 may be eligible for compensation. Information about eligibility and filing a claim is available at AGGenericDrugs.com. Consumers may also call 1-866-290-0182 toll-free or email info@AGGenericDrugs.com.
Washington and Idaho were the only states in the coalition to also secure potential restitution for businesses affected by the alleged conduct. Washington businesses that indirectly purchased one or more of the generic prescription drugs involved in the states’ cases, or reimbursed some or all of the purchase price, may qualify for compensation for purchases made between May 2009 and December 2019.
Additional information for businesses is available at AGGenericDrugs.com under the section for corporate entities.
The proposed Sandoz settlement follows previous settlements with Glenmark, Lannett, Bausch, Apotex, Heritage and Heritage’s parent company, Emcure. Those settlements totaled $96.5 million, according to the Attorney General’s Office.
