Allergan Inc. and Novartis AG recently reached a settlement resolving claims in New Jersey federal court that Allergan engaged in a scheme to block Shire US Inc. (which Novartis later acquired) from competing with Allergan’s blockbuster drug Restasis in the market for dry-eye drugs. The deal’s terms were not made public as part of the June 19th filing disclosing the settlement.
Shire’s complaint alleged that Allergan offered exclusive dealing provisions, coercive rebates, and bundled discounts to providers of Medicare Part D plans to incentivize them to deny or limit coverage for Shire’s competing dry-eye drug, Xiidra. This scheme, Shire alleged, prevented it from getting Xiidra offered through any major Part D plans, while at the same time allowing Allergan to maintain its monopoly in the Part D market.
Allergan also faces other lawsuits involving Restasis, including a class action by direct purchasers that is currently seeking approval of a $51.2 million settlement and a parallel suit by insurers and other “end payers” that is moving forward as a certified class after a ruling last month.
Faruqi and Faruqi, LLP is one of the firms representing the direct purchaser plaintiffs.
About Faruqi & Faruqi, LLP
Faruqi & Faruqi, LLP focuses on complex civil litigation, including securities, antitrust, wage and hour, personal injury and consumer class actions as well as shareholder derivative and merger and transactional litigation. The firm is headquartered in New York, and maintains offices in California, Delaware, Georgia and Pennsylvania.
Since its founding in 1995, Faruqi & Faruqi, LLP has served as lead or co-lead counsel in numerous high-profile cases which ultimately provided significant recoveries to investors, direct purchasers, consumers and employees.
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About Kristyn Fields
Kristyn Fields' practice is focused on antitrust litigation. Kristyn is a Senior Associate in the firm's New York office.Prior to joining F&F, Kristyn interned for the Honorable Martin Marcus, New York Supreme Court, Bronx County. As well, Kristyn participated in the Brooklyn Law Incubator & Policy Clinic providing pro bono counsel to emerging start-up companies. While at Brooklyn Law School, Kristyn served as an Executive Articles Editor of the Brooklyn Journal of Corporate, Financial & Commercial Law. Also, Kristyn was a member of the Moot Court Honor Society.Kristyn earned her J.D. from Brooklyn Law School (2016). Kristyn earned her undergraduate degree from Boston College (B.A., Political Science, 2013).Kristyn is licensed to practice law in New York.