Pennsylvania Consumers Can Seek Generic Drug Settlement Funds

Prescription drug
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HARRISBURG, PA — Pennsylvania consumers who bought certain generic prescription drugs between May 2009 and December 2019 can now seek compensation from settlements totaling about $96.5 million after a federal court granted preliminary approval to a multistate distribution plan this month.

Pennsylvania Attorney General Dave Sunday is urging potentially eligible consumers to file claims as the state and a coalition of 47 other states and territories move to distribute money from settlements with generic drug manufacturers accused of conspiring to raise prices.

The settlements involve Glenmark, Lannett, Bausch, Apotex, Heritage and Heritage parent Emcure. The companies agreed to settle claims brought by the states, with the combined agreements totaling approximately $96.5 million.

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The distribution plan is intended to return millions of dollars to consumers potentially affected by higher prices for generic drugs covered by the settlements.

“Pennsylvanians who purchased certain generic prescription drugs during a 10-year-period beginning in 2009 may be entitled to compensation, so I encourage them to act fast,” Sunday stated.

Consumers can determine whether a drug they purchased is included and review eligibility information at www.AGGenericDrugs.com. The settlement administrator can also be reached toll-free at 1-866-290-0182 or by email at info@AGGenericDrugs.com.

Claims for compensation can be submitted at https://www.aggenericdrugs.com/English/landing/portalid/0.

The settlements stem from a broader series of antitrust cases pursued by Pennsylvania and other states beginning in 2016. The litigation alleges coordinated efforts among generic drug manufacturers and executives to reduce competition and increase prices.

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The first complaint involved Heritage, 17 other corporate defendants, two individuals and 15 generic drugs. A second complaint filed in 2019 targeted Teva Pharmaceuticals and 21 other generic drug manufacturers and named 16 senior executives as defendants.

A third case, which is scheduled to be tried first, concerns 80 topical generic drugs representing billions of dollars in U.S. sales and names 26 corporate defendants and 10 individuals.

The states filed a fourth complaint earlier this year alleging that Novartis AG, Sandoz Group AG and Sandoz AG are liable for alleged conduct by Sandoz and for fraudulent asset transfers.

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Seven pharmaceutical executives are cooperating with the states in the litigation, according to the Pennsylvania Attorney General’s Office.

The states contend that their investigations uncovered communications among competing industry executives who regularly interacted and allegedly used terms including “fair share,” “playing nice in the sandbox” and “responsible competitor” while coordinating conduct intended to suppress competition and raise prices.

Those allegations have not been adjudicated in the continuing cases.

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