States seek court approval for generic drug manufacturer settlements

A coalition of 45 states and territories is seeking court approval for multiple settlements with generic drug manufacturers to resolve allegations of a widespread conspiracy to manipulate prices and reduce competition.

Recent developments include settlements with Ascend Laboratories, Mayne Pharma, and Citron Pharma. Ascend and Mayne will pay a combined $1.05 million to the states, while Citron’s settlement is non-monetary as the company has ceased operations. These agreements include injunctive terms and internal reforms to ensure future antitrust compliance.

This follows previous settlements with companies including Sandoz, Glenmark, Lannett, Bausch, Apotex, and Heritage (and its parent Emcure), which totaled $496.5 million. A $400 million settlement involving Sandoz is also being sought by the coalition.

Consumers who purchased generic prescription drugs between May 2009 and December 2019 may be eligible for compensation through the established claims process.