Mylan, After Agreeing to Pay $73.5M to Settle Antitrust Claims by Wholesalers, is Slapped with Another Lawsuit

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Mylan — the company that markets the EpiPen brand of epinephrine auto-injectors and is now a unit of Viatris — has agreed to pay $73.5 million to settle a class action lawsuit by drug wholesalers accusing the drugmaker of scheming to overcharge them for the devices.

The preliminary settlement filed last week in federal court in Kansas, still requires sign-off by US District Judge Daniel Crabtree who oversees the suit.

The suit by over 80 drug wholesalers, including KPH Healthcare and FWK Holdings, alleges Mylan conspired with Pfizer, manufacturer of EpiPens, to delay introducing a generic version of EpiPen, causing commercial and other buyers to pay more for the brand name version of the life-saving device.

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Mylan does not admit to wrongdoing in the settlement, and neither did Pfizer who settled similar claims for $50 million in 2023.

Mylan raised the price of a pair of EpiPens to $600 from $100 in 2008, spurring lawsuits from wholesalers and others.

Attorneys said they will seek 1/3 of the settlement fund, about $24.5 million.

On the heels of that announcement, Indiana Attorney General Todd Rokita filed a lawsuit Thursday morning in Marion Superior Court against pharma companies, alleging they hiked EpiPen prices while stifling competition.

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Said Rokita in a press release:

Pharmaceutical companies have prioritized profits over patients. Many Indiana residents rely on these medications to stay alive. Hoosiers deserve to know that the prices they pay for epinephrine arise from free and fair competition.

The 107-page complaint claims Mylan and Pfizer conspired to increase EpiPen’s price by more than 600% to continue to profit from prescriptions and prevent similar products from coming to market.

“For these companies to add to the pain by scheming against people with medical conditions is absolutely unethical,” Rokita said in written remarks.

Pfizer issued a statement denying the allegations:

Pfizer denies any wrongdoing and is confident that its actions were appropriate. Protecting our intellectual property is vital to our ability to develop new medicines that save or enhance patient lives, and we will vigorously defend against these allegations which relate to a product no longer manufactured by the company.

The complaint also alleges the companies paid doctors to endorse their decision to launch a 2-pack of the EpiPen and claim it is medically necessary, thus allowing the companies to cease selling individual EpiPens.

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Dave Bloom
Dave Bloom
Dave Bloom is CEO and "Blogger in Chief" of SnackSafely.com.

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