The Supreme Court ruled Monday that the Federal Trade Commission can challenge name brand drug makers for potential antitrust violations.
The New York Times: Supreme Court Lets Regulators Sue Over Generic Drug Deals
Pharmaceutical companies that pay rivals to keep less-expensive generic versions of best-selling drugs off the market can expect greater federal scrutiny after a Supreme Court ruling on Monday. In a 5-to-3 vote, the justices effectively said that the Federal Trade Commission can sue pharmaceutical companies for potential antitrust violations, a decision that is likely to increase the number of generic drugs in the marketplace and benefit consumers (Wyatt, 6/17).
Reuters: Supreme Court Says FTC Can Sue Over Deals That Delay Generic Drug Sales
The Supreme Court ruled on Monday regulators can challenge deals between brand-name drug companies and generic rivals that delay cheaper medicines from going on sale, which regulators say increase costs to consumers by billions of dollars (Hurley and Bartz, 6/17).
Medpage Today: Supreme Court Split On Pharma 'Pay For Delay' Deals
So-called "pay-for-delay" arrangements between generic and brand-name drug companies are not inherently legal, and each instance must be considered on a case-by-case basis, the Supreme Court ruled Monday. In the 5-3 decision overruling the 11th Circuit Court of Appeals, Justice Stephen Breyer, writing for the majority, listed five reasons why the appellate court erred in giving blanket immunity to pay-for-delay agreements, in which brand-name drugmakers pay or compensate generic drug companies in exchange for a later entry date of the cheaper generic version of a drug (Frieden, 6/17).