AstraZeneca agrees to $51 million settlement in Seroquel antitrust class action
May 30 (Reuters) - Drugmaker AstraZeneca has agreed to pay $50.9 million to settle a class action lawsuit in U.S. court accusing the company of scheming to delay a generic version of its schizophrenia drug Seroquel, causing companies to pay artificially higher prices.
The plaintiffs, a group of drug purchasers including Smith Drug Co and KPH Healthcare Services, filed the preliminary settlement, opens new tab on Thursday in the U.S. District Court for the District of Delaware. The deal requires approval from U.S. District Judge Colm Connolly.
The 2019 lawsuit alleged AstraZeneca schemed with Handa Pharmaceuticals to delay the marketing of a generic version of Seroquel XR, which is used to treat schizophrenia and bipolar disorder. Handa said it will pay $494,000 to settle the buyers' claims.
A trial had been scheduled for May 5.
AstraZeneca declined to comment. Handa and a lead attorney for the plaintiffs did not immediately respond to requests for comment.
AstraZeneca and Handa denied any wrongdoing in agreeing to settle. They said the resolution avoids the expense and distraction of any further litigation.
Worldwide annual sales of Seroquel once topped $5.3 billion. The class period covers business purchases from 2015 to 2017.
In their settlement filing, the plaintiffs' attorneys called the amount an 'outstanding' result for the class of drug buyers.
The plaintiffs' lawyers said they would seek up to 36% of the settlement fund for legal fees, or about $18.5 million.
AstraZeneca in 2010 agreed to pay $520 million to the U.S. government to settle claims that the company illegally marketed and promoted Seroquel for unapproved uses.
The company in 2011 paid $68.5 million to resolve U.S. states' claims over the alleged deceptive marketing of the drug.
The case is In re: Seroquel XR (Extended Release Quetiapine Fumarate) Antitrust Litigation, U.S. District Court for the District of Delaware, No. 1:20-cv-01076-CFC.
For direct purchasers: Jonathan Gerstein of Garwin Gerstein & Fisher
For AstraZeneca: Benjamin Greenblum of Williams & Connolly
For Handa: James Gallagher of Davis Malm & D'Agostine
Read more:
Hikma Pharma to pay $50 million to settle narcolepsy drug antitrust case
20 US states balk at Florida settlement with drugmaker Sandoz
Mylan to pay $73.5 mln to settle drug wholesalers' EpiPen antitrust claims
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Daily Mail
40 minutes ago
- Daily Mail
Leaders of the Jan. 6 riot take revenge against US after securing pardon from Trump
Five former members of the Proud Boys are looking for a little revenge after getting a pardon from Donald Trump, filing a $100million lawsuit against the Department of Justice. One of the first moves of Donald Trump's second term was to pardon all January 6 defendants which included members of the far right Proud Boys. Former Proud Boys chairman Enrique Tarrio, Joseph Biggs, Zachary Rehl, Ethan Nordean and Dominic Pezzola have filed the suit in Orlando federal court. While Tarrio received a pardon, the other four plaintiffs had their sentences commuted. The lawsuit said all four applied for pardons on May 13. They claim their constitutional rights were violated when they were prosecuted for their participation in the attack on the U.S. Capitol. The suit seeks unspecified compensatory damages plus 6% interest and $100 million plus interest in punitive damages. 'There was hostages in this country,' Tarrio said during a news conference Friday afternoon. 'It's not about any other country today, and that's why this lawsuit is so important to bring back law and order into our system.' The lawsuit claims the men were arrested with insufficient probable cause and that government agents later 'found' fake incriminating evidence. They also claim they were held for years in pretrial detention, often in solitary confinement. 'The Plaintiffs themselves did not obstruct the proceedings at the Capitol, destroy government property, resist arrest, conspire to impede the police, or participate in civil disorder, nor did they plan for or order anyone else to do so,' the lawsuit said. Tarrio, Biggs, Rehl and Nordean were all convicted of seditious conspiracy and other crimes for their participation in the Capitol riot that sought to stop Congress from certifying former U.S. President Joe Biden ´s win over President Donald Trump in the 2020 presidential election. Pezzola was acquitted on the conspiracy charge but convicted of stealing a police officer's riot shield and using it to smash a window. After returning to office earlier this year, Trump granted pardons to almost all of the more than 1,500 people who stormed the Capitol. The U.S. Justice Department didn't immediately respond to a message seeking comment. Speaking to a media gaggle packed into his White House office the night of the inauguration, Trump said he was pardoning about 1,500 defendants and issuing six commutations. Ex-Proud Boys leader Enrique Tarrio was a guest of honor at the Reagan Tribute at Mar-a-Lago – just two weeks after his prison sentence was commuted by President Donald Trump's executive order Zachary Rehl (pictured left) and Ethan Nordean (pictured right) are two of the plaintiffs in the suit He also directed the attorney general to seek dismissal of about 450 pending criminal cases against Jan. 6 defendants. The pardons fulfill Trump's promise to release supporters who tried to help him overturn his election defeat four years ago. 'These are the hostages,' he said while signing the paperwork in the Oval Office. Trump declared at his indoor parade earlier that day that he will sign pardons for 'a lot of people' who were convicted for the attack on the U.S. Capitol as the crowd cheered enthusiastically. 'We won, we won, but now the work begins,' Trump said to start his remarks at the end of the parade in the packed Capitol One Arena in Washington, DC. Tarrio, one of the biggest names to get a pardon, has since said he plans to run for public office. He was sentenced in September 2023 to serve 22 years in prison after he was convicted of seditious conspiracy for his role in the January 6 attack – even though he was not present at the Capitol that day. And just two weeks later, Tarrio was among the guests of honor during a Reagan Tribute event at Trump's Mar-a-Lago club in Palm Beach, Florida. Tarrio, who was chairman of the Proud Boys at the time of the Capitol attack, said he would neither 'support' nor 'condemn' the riot. The far-right activist did insist, however, that he did not 'sympathize' with lawmakers who were terrified in their offices that day. At least 37 members of the Proud Boys were arrested, charged or indicted for alleged roles in the Capitol riot by January 2022. By then, Tarrio was no longer a leader of the group. He served as chairman from 2018 to 2021. The House Select Committee on the January 6 Attack subpoenaed Tarrio to testify in November 2021 and in February 2022, he gave a deposition to the committee investigators and two members.
The Independent
an hour ago
- The Independent
Judge paves the way for college athletes to earn millions
A federal judge has paved the way for college athletes to earn millions after approving a settlement between an Arizona State swimmer and the National Collegiate Athletic Association on Friday. Almost five years ago, Grant House sued the NCAA and its five biggest conferences to lift restrictions on revenue sharing with college athletes. Under the newly approved settlement, each school will now share up to $20.5 million with athletes over the next year and $2.7 billion over the next 10 years to thousands of former athletes who were previously prohibited from collecting revenue, the Associated Press reported. Most of the athletes who will reap the rewards of this suit will be football and basketball players at the biggest sports schools. House said in a CBS Sports article from May 2023 that he was inspired to pursue the lawsuit by Arizona State's music students who could get paid to play at Carnegie Hall. "I always thought it was interesting that … if [those musicians] can monetize this, take it to the farthest reaches, I couldn't because I was an athlete doing my own aspirations and dreams," House said. 'That just didn't sit well with me and confused me a lot,' he added. CBS Sports reported that the NCAA had made claims that compensating athletes would cause issues in the locker room. "I know there are quarterbacks getting millions of dollars. I'm not getting that. Good for them. I want them to actualize that," House said in response. He continued: 'I can imagine [locker room issues] in maybe some places where younger athletes have egos and haven't developed as much. I blame that on the culture. I don't blame that on NIL [name, image and likeness]. If your culture is that fragile, that weak, you as a university need to fix that.'
Daily Mail
an hour ago
- Daily Mail
Massive 400-pound alligator captured by North Carolina cops and hit with hilarious charges
North Carolina police 'arrested' a gigantic alligator and hit him with hilarious charges for crossing the road. Onslow County Sheriff's deputies along with officers from the NC Wildlife Resources Commission captured the massive beast on May 28 on Old 30 Road. '[Officials] wrangled this prehistoric perp off the pavement today after he was caught loitering near the double yellow line,' the sheriff's office said. Deputies decided to have some fun announcing their impressive catch and released a statement playfully claiming the gator had 'scaly intentions' and was charged with a crime. 'Witnesses say he was just chilling and snapping, clearly ignoring the "no loitering or lounging on roadways" sign,' said the sheriff's office. The reptile was named 'Pepe the Gator' and measured up at 400 pounds and almost 10 feet-long. The sheriff's office jokingly said, '[Pepe] has been cited for Suspicion of Being a Dinosaur Without Proper Papers, Public Loitering with Intent to Sunbathe, and Obstructing Traffic.' 'Deputies reported no injuries, unless you count his pride when the gator refused to be cuffed. 'We're told the gator has been safely relocated — and no, he didn't get to ride shotgun.' The cops also posed for some hilarious photos with Pepe, including one image of a deputy standing behind the beast with his thumb. Another photo showed three deputies sitting on the gator while they restrained him after they covered his with a towel and taped his mouth shut. Community members loved the cheeky post, commenting that they loved seeing the deputies have fun, but thought Pepe's charges were unfair. 'I'm so weak the one on the glasses is having the time of his life,' one person said. 'Y'all are brave riding the bronco-gator,' said another. '#FreePepe my homie did nothing wrong,' a third person said. 'Had he just called Uber instead of trying to walk, he wouldn't be in this mess,' added a fourth. A representative from the Onslow County Sheriff's office told PEOPLE that Pepe was was transported safely to Camp Geiger, a Marine Corps base in Jacksonville. The sheriff's office believed that Pepe had traveled at least three miles from the nearest body of water and needed some help getting to safety in case he hurt himself or injured anyone. According to NC Wildlife, male alligators in the Tar Heel state can reach up to 13 feet and weight up to 500 pounds or more. They are common in freshwater areas and the largest populations live in the coastal counties of Brunswick, New Hanover, Craven, Columbus, Onslow and Pender.
