10/20/24 | SETTLEMENTS UPDATE
Hagens Berman has settled the Direct Purchaser Plaintiffs’ claims against defendants Sun, Taro, Heritage, Apotex, and Breckenridge for a total of $120 million. In addition, in June 2024, the court granted preliminary approval of a settlement with Sandoz for $265 million.
Hagens Berman has filed multiple lawsuits against numerous generic pharmaceutical companies for conspiring to increase and set prices on inexpensive, commonly used generic drugs.
WHAT DRUGS ARE AFFECTED?
The drugs that are the subject of the alleged conspiracy include drugs for the treatment of serious health conditions, such as heart failure, high blood pressure and diabetes. In some cases the market saw triple-digit percentage price increases, allegedly putting the products out of reach of patients who require them.
GENERIC DRUG PRICING EXPLAINED
In a typical mature market for commodity products, such as generic drugs, sellers compete aggressively for market share by reducing prices. But the complaints alleged the following: defendants here entered into a “Fair Share” agreement, through which defendants agreed to fix and raise prices, rig bids, and allocate markets for many dozens (if not hundreds) of generic drugs. To carry out this agreement, representatives of defendants communicated with their “competitors” constantly, through phone calls, emails, trade association meetings, and social events. The conspirators knew their conduct was illegal, and took extensive measures to conceal their activities – including, in some instances, allegedly intentionally destroying evidence of their incriminating communications.
The United States Department of Justice has opened a criminal investigation and has already secured guilty pleas from three high-ranking generic pharmaceutical company executives. The Attorneys General of 49 states have joined the multidistrict litigation, and they have announced that this “could be the largest cartel case in the history of the United States.”
TOP PHARMA LAW FIRM
Hagens Berman is one of the most successful litigation law firms in the U.S. taking on pharmaceutical companies and has achieved more than $320 billion in settlements against Big Pharma largest sellers and manufacturers for antitrust schemes, pay-for-delay, IP shams and other forms of wrongdoing that drive up the costs of prescription drugs for consumers and others.
