Consumers Urged to Check Eligibility for Compensation in $39.1 Million Apotex Settlement

Consumers who purchased certain generic prescription drugs between May 2009 and December 2019 are being encouraged to check if they qualify for compensation following a $39.1 million settlement with generic drug manufacturer Apotex. A coalition of 50 states and territories filed a motion for preliminary approval of the settlement, which resolves allegations that Apotex conspired to inflate prices and reduce competition. The motion was filed in U.S. District Court for the District of Connecticut.

The settlement follows a previous announcement in which Apotex and Heritage Pharmaceuticals agreed in principle to resolve claims of widespread price-fixing conspiracies. Apotex’s settlement was initially contingent on signatures from all participating states and territories, which have now been secured. As part of the agreements, both companies have pledged to cooperate in ongoing litigation against 30 corporate defendants and 25 individual executives. The companies have also agreed to implement internal reforms to ensure future compliance with antitrust laws and maintain fair competition.

The multistate coalition’s efforts stem from a series of antitrust complaints beginning in 2016, targeting numerous generic drug manufacturers. The first complaint included 17 corporate defendants, two individual defendants, and allegations of price manipulation involving 15 generic drugs. The second complaint, filed in 2019, targeted Teva Pharmaceuticals and 19 other major generic drug manufacturers, as well as 16 individual senior executives. A third complaint focuses on 80 topical generic drugs and involves 26 corporate defendants and 10 individual defendants. Several pharmaceutical executives have reached settlement agreements and are cooperating with the ongoing investigations.

The investigations that led to these settlements relied on evidence gathered from cooperating witnesses, a document database containing over 20 million records, and phone records documenting communications between industry competitors. The evidence suggests that competitors colluded through industry events, informal gatherings, and direct communications, using phrases like “fair share” and “playing nice in the sandbox” to describe their efforts to limit competition. Notes from a key witness detailed discussions during phone calls and internal meetings over several years, further supporting the claims.

Individuals who may be eligible for compensation are urged to call 1-866-290-0182, email info@AGGenericDrugs.com, or visit www.AGGenericDrugs.com to determine eligibility. This settlement represents an effort to hold pharmaceutical companies accountable and provide restitution to affected consumers.

Article by multiple RFHC contributors, based upon information from the Maryland Attorney General’s Office.

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