West Virginia to receive $1.5 million in settlement with suboxone manufacturer Indivior
By Matthew Young, RealWV
CHARLESTON, W.Va. – A nearly seven-year court battle reached its conclusion Friday, as a suboxone manufacturer agreed to a financial settlement to satisfy allegations of illegal business practices.
Indivior, Inc., a Virginia-based pharmaceutical manufacturer, agreed to pay a total of $102.5 million to 41 states and the District of Columbia, as the result of what the lawsuit argued were, “illegal tactics to switch the Suboxone market from tablets to oral film form (that dissolves under a patient’s tongue) while attempting to destroy the market for tablets, in order to preserve its drug monopoly—in 2009, generic manufacturers were poised to begin selling their own pills.”
The original complaint states that, “Indivior engaged in violations of the Sherman Act and violations of the laws of the Plaintiff States, by engaging in anticompetitive activities designed to impede competition from generic equivalents of the brand-name drug Suboxone. Indivior disputes these allegations.”
The lawsuit was first filed in 2016, with the other 40 states – as well as Washington, D.C. – signing on shortly thereafter. West Virginia stands to receive approximately $1.5 million from the settlement.
In a statement released by his office on Friday, West Virginia Attorney General Patrick Morrisey said, “Companies should not resort to improper means to control the market, all the while hurting consumers. Competition is the driving force in a free market economy, and those who resort to improper means will be held accountable to the full extent of the law.”
Morrisey’s statement further explained that the plaintiffs believed Indivior’s conduct was unlawful because it “squelched the market for generic Suboxone tablets which were set to enter the market,” thereby allowing Indivior to “switch the market to its brand name film.”
Under the terms of the settlement, Indivior is not required to admit any wrongdoing. In fact, within the stipulations section – stipulations which were agreed upon by both Indivior and the coalition of states – it is made clear that, “Indivior denies the charges in the Complaint and disputes that the Plaintiff States are entitled to obtain relief.” It was further agreed that each party would be responsible for their own legal fees.
However, according to Morrisey’s statement, “Indivior is also required to comply with negotiated injunctive terms that include disclosures to the states of all citizen petitions to the FDA, introduction of new products, or if there is a change in corporate control, which will help the states ensure that Indivior refrains from engaging in the same kind of conduct alleged in the complaint.”
The agreement requires that Indivior make the full payment of $102.5 million within 30 days. The State of Maine will serve as intermediary between Indivior and all plaintiff-states. No information was provided as to when West Virginia will receive its portion of the settlement, or what the funds will be used for.
RealWV will provide updates regarding the settlement with Indivior, Inc. as additional information is made available.
