Motley Rice and co-counsel reached a $54 million anti-trust settlement, approved by the Court on July 19, to resolve multidistrict litigation alleging medical drug manufacturers Boehringer Ingelheim and Teva Pharmaceutical engaged in an alleged pay-for-delay scheme to block generic competition for stroke medication Aggrenox®.
End-payor plaintiffs alleged that Boehringer, Aggrenox’s manufacturer, intervened when Teva subsidiary Barr Pharmaceuticals first attempted to secure rights to sell a generic version of the drug by filing a patent infringement suit against the company in 2007. In order to settle the infringement suit, Boehringer paid Barr $120 million over the course of seven years. In exchange, Barr allegedly cooperated in delaying its generic drug from entering the market until 2015. When Barr did finally apply for a license to sell its generic drug, Boehringer granted approval immediately, further suppressing competition, plaintiffs alleged.
Boehringer reportedly made nearly $400 million in U.S. sales of the drug between 1998 and 2008.
In addition to the $54 million settlement for end-payor plaintiffs, defendants in the case also agreed last year to pay $146 million to compensate direct purchaser plaintiffs.
Motley Rice attorneys Bill Narwold and Michael Buchman represented plaintiffs, along with co-counsel Heins Mills & Olson PLC, Hilliard & Shadowen LLP, and Miller Law LLC.
The case is In re: Aggrenox Antitrust Litigation, case number 3:14-md-02516.
Read the complaint.
Link to settlement approval order.