FTC wins pay-for-delay battle
NEW YORK The Federal Trade Commission’s crusade against patent settlements between branded and generic drug makers moved a step ahead Monday as a district court rejected an effort by Cephalon to throw out antitrust suits, according to published reports.
BusinessWeek reported that a U.S. District Court in Philadelphia ruled in favor the FTC and others, saying they had good enough arguments to move forward in their case against the drug maker, concerning Provigil (modafinil), used to treat sleep apnea, shift work sleep disorder and narcolepsy.
According to the suit, Cephalon had entered a settlement with generic drug makers Teva Pharmaceutical Industries, Barr Labs, Mylan and Ranbaxy Labs whereby Cephalon paid the drug companies in exchange for their dropping their challenges to Cephalon’s patent on the drug and waiting to launch until 2012. The patents for the drug, including those covering its use in children, expire in 2024.