FTC Reports 60% Increase in Pay-for-Delay Generic Drug Deals

Since the courts began permitting branded drug companies to pay generic companies not to enter the market with a generic version of a popular drug, the number of pay-for-delay settlements has increased.  That process accelerated in 2010 with the number increasing to 31 deals up from 19 the previous year.  The FTC has argued that these deals violate the antitrust laws and cost drug consumers millions of dollars a year.  The courts have held that the deals fall within the patent rights of the branded drug companies as long as they aren’t structured to discourage future competitors.

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