LANSING, Mich. (WILX) – Michigan Attorney General Dana Nessel is urging consumers to confirm compensation for certain common drug purchases as Michigan joins 50 states and territories and seeks a $39.1 million settlement with general drug manufacturer Apotex to expand competition and limit competition.
“We’ve seen drug makers inflate prices at the expense of people who depend on their drugs,” Nessel said. “This settlement sends a clear message that such unethical conduct is not tolerated and can take a step towards ensuring that the people who need it most have access to the drug. I encourage people who appear to be affected by these practices to see if they qualify for compensation.”
Attorney General Nessel and the Multi-State Coalition announced a settlement last fall as a principle with Apotex, and announcing a $10 million settlement with Heritage Pharmaceuticals. At the time of that announcement, the settlement with Apotex was conditioned on all state and territorial signatures required. These signatures are obtained and alliances are obtained Submit a settlement (PDF) Wednesday in U.S. District Court for the Connecticut District of Hartford.
If you purchase a generic prescription drug Listed here (PDF) You may be subject to compensation between May 2009 and December 2019. To determine eligibility, please call 1-866-290-0182 (toll-free number), email or Visit the AG Generic Drugs Settlement website.
The settlement agreement resolves allegations that both Apotex and heritage engaged in a wide and long-term conspiracy to artificially inflate prices, reduce competition and unfairly curb trade on numerous common prescription drugs.
As part of the settlement agreement, both Apotex and Heritage agree to cooperate in the ongoing multi-stage litigation against 30 corporate defendants and 25 individual executives. The companies have also agreed to a series of internal reforms to ensure fair competition and compliance with antitrust laws to prevent future fraud.
Michigan is one of almost every state-territorial coalition that filed three antitrust complaints that began in 2016. The initial complaints included estates and 17 corporate defendants, two individual defendants and 15 generic drugs. Two former executives of Heritage Pharmaceuticals, Jeffery Glazer and Jason Malek, have signed a settlement agreement and are working together.
Second complaint (PDF) It was submitted in 2019 to Teva Pharmaceuticals and 19 largest generic drug manufacturers in the country. The complaint has been named 16 individual senior executive defendants.
The third complaint first tested focuses on 80 topical generic drugs that make up billions of dollars in sales in the US, appointing 26 corporate and 10 individual defendants. Six drug executives have signed a settlement agreement with the state and are working together to support the state’s claims in all three cases.
All cases stem from a series of research that emerged from evidence from several cooperative witnesses at the heart of various conspiracies, a large document database of over 20 million documents, and a telephone record database containing call details and contact information for over 600 sales and pricing individuals in the generic industry.
Each complaint deals with a variety of drugs and sets of defendants and lays out a web of interconnected industry executives who are communicated via industry dinners, “girls’ nights”, lunches, cocktail parties, golf appearances, frequent calls, emails, and text messages given illegal agreements via text messages.
Through the complaint, the defendant uses terms such as “fair share,” “play Nice in the sandbox,” and “responsible competitors,” to explain how he illegally discouraged the competition, raised prices and enforced a culture of conspiracy.
Among the records obtained by the state is a two-volume notebook that contains one simultaneous note from the state cooperative commemorating his discussions over several years with calls with competitors and internal business meetings.
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