FTC and AbbVie row over pay-for-delay deals
Pennsylvania | 23 February 2016

AbbVie and its partner Besins Healthcare have urged a Pennsylvania court to accept that it has provided the US Federal Trade Commission (FTC) with all necessary documentation in a row over pay-for-delay deals.

The response emerged following the FTC’s demand for further non-protected documents in the suit over pay-for-delay deals concerning AbbVie’s testosterone treatment AndroGel, which the agency claim are anti-competitive.

The FTC originally filed a complaint against AbbVie in September 2014, for signing agreements with generic companies to stall cheaper, generic versions of AndroGel.

According to the complaint filed at the US District Court for the Eastern District of Pennsylvania, AbbVie and Besins filed “sham” patent infringement litigation against Teva and Perrigo before offering incentives to delay the release of their generic products.

The FTC challenged the deal in light of the King Drug Co of Florence v SmithKline Beecham Corp decision, in which the Court of Appeals for the Third Circuit concluded that an unjustified reverse payment is not limited to cash.

The Pennsylvania court moved to dismiss the case and denied the FTC’s motion to reconsider, holding that the Third Circuit’s SmithKline decision was irrelevant to the case.

The FTC filed three new motions on 5 February seeking to force AbbVie to turn over further documents regarding the settlement with Teva, in a bid to prove the relevance of the SmithKline decision.

But AbbVie bit back, claiming it had already supplied the FTC with all of the necessary documentation and calling further requests “burdensome”.

Author: Tammy Facey



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