FTC Sues in "Pay-for-Delay" Pact

[MountainLaurel]

The Federal Trade Commission has filed suit in federal court in an attempt to block a deal in which a manufacturer of a brand-name testosterone-replacement drug paid three competitors to delay rolling out cheaper generic versions.

The FTC said the "pay-for-delay" agreement violates antitrust laws, robs consumers of less-expensive alternatives and allows the brand-name drugmaker an unfair monopoly. The state of California joined the federal agency in its complaint, which was filed last week in U.S. District Court in the Central District of California.

FTC officials are hoping the case will ultimately reach the U.S. Supreme Court. "We want to stop these unconscionable pay-for-delay deals that force consumers to overpay for much-needed drugs," said Jon Leibowitz, an FTC commissioner.

Androgel is a synthetic testosterone gel prescribed to men who have low levels of the hormone due to aging, cancer, or HIV/AIDS, among other conditions. Solvay Pharmaceuticals was granted a 17-year patent for Androgel in 2003, and it has become the drug company's second-highest grossing drug, earning about $400 million in annual sales.

http://www.washingtonpost.com/wp-dyn/content/article/2009/02/02/AR2009020202968.html?hpid=moreheadlines

[drm604]

1. Wow. The government actually acting for the people rather than for the corporations.

This is going to take some getting used to! :)

I notice that this is all over the MSM. :sarcasm:

[MountainLaurel]

2. Between this and the investigations of the FDA

I guess hope really is here.

[drm604]

3. I feel like I need to keep pinchng myself to prove I'm not dreaming.

I just wish that the corporate media could find a few seconds to talk about these kinds of things in between their coverage of tax issues. Not that the tax problems don't deserve mention, they do, but there are other important things going on - things that will ultimately have a greater impact on people's day to day lives.

[WillYourVoteBCounted]

4. I hope that they do this for all pay to players

because this isn't the only one.