Facts

Plaintiffs Meijer Inc., BI-LO LLC, and other direct purchasers filed an antitrust class action lawsuit against defendants Bausch Health Companies Inc., Salix Pharmaceuticals Ltd., Santarus Inc., Assertio Therapeutics Inc., Lupin Ltd. and Lupin Pharmaceuticals Inc. Lupin sought approval for and planned to release its generic version of Glumetza, a diabetes medication that was marketed through a partnership between a Bausch Health subsidiary and Assertio Therapeutics Inc (previously Depomed).

PLAINTIFFS' CONTENTIONS: Plaintiffs contended that Lupin agreed to delay sales of its generic version of Glumetza until February 2016 in exchange for a promise by Bausch and Assertio that they would not launch a competing "authorized" generic Glumetza for 12 months after Lupin began its sales. This had the effect of unlawfully prolonging Bausch and Assertio's monopoly for brand Glumetza and gave Lupin a monopoly on generic Glumetza for one year when it finally entered the market. The generic versions could have been on the shelves as early as December 2012 and the defendants' scheme delayed generic availability for several years, resulting in hundreds of millions of dollars in overcharges to direct purchasers and consumers.

DEFENDANTS' CONTENTIONS: Defendants denied all contentions.

Result

The case was settled for $453.85 million.

Other Information

Bausch Health Cos. Inc. and six of its business units settled the direct purchaser class case for $300 million, Assertio settled the direct purchaser class case for $3.85 million, and Lupin settled the direct purchaser class case for $150 million. Also, some class members, such as insurer Humana Inc. and retailers including CVS and Rite Aid, opted out to pursue their own case.