The Federal Trade Commission has re-filed complaints against two drug companies for obstructing generic drug competition, with one company agreeing to settle with the agency.
The re-filed case is related to one the FTC filed in March 2016 against Endo International and Allergan.The FTC said at the time that Endo delayed the arrival of generic competition to its drugs Opana ER (an extended-release opioid painkiller) and Lidoderm (a patch used to treat pain related to shingles), a practice called pay-for-delay.
The company that made the generic versions of Opana ER and Lidoderm, known as Watson before being acquired by Allergan, is still being sued by the FTC for entering the pay-for-delay agreement.
Endo was down as much as 5% on the news Monday afternoon, while Allergan was up slightly. Teva, which acquired Allergan’s generics business, was down 3%. Allergan declined to comment on the FTC’s complaint.
Here’s what Endo agreed to, according to the FTC:
“The proposed Endo order prohibits Endo and its subsidiaries from entering into the type of anticompetitive patent settlements that the FTC charged Endo used to eliminate the risk of generic competition, including its use of no-authorized generic, or “no-AG,” commitments, in which a brand company agrees not to compete with an authorized generic version of a drug for a period of time. Because Endo is now prohibited by Commission order from entering into pay-for-delay settlements, the order also releases Endo from liability for its use of reverse-payment settlement agreements concerning the branded drug AndroGel.”
Endo said in a release that the company made no admission of liability and won’t have to pay the FTC.
- Markets Insider