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H-E-B Joins Antitrust Battle Against Teva Over MS Drug Monopoly

 |  May 12, 2025

Texas-based grocery chain H-E-B has joined a coalition of major pharmacy retailers in filing an antitrust lawsuit against Teva Pharmaceuticals, alleging the company used unlawful tactics to maintain control over the market for a multiple sclerosis medication.

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    According to a statement, the lawsuit—filed in Vermont by H-E-B, Walgreens, Kroger, and Albertsons—accuses the Israeli pharmaceutical giant of suppressing generic competition for its branded drug Copaxone, a treatment designed to reduce the frequency of relapses in patients with relapsing forms of multiple sclerosis.

    The Vermont filing closely mirrors an ongoing case in a New Jersey federal court, which has been pending for nearly three years. In both suits, plaintiffs argue that Teva manipulated the market by altering its dosage formulation when faced with generic competition and using exclusive contracts with medical providers to stifle access to lower-cost alternatives.

    Per a statement cited in the suit, the pharmacy chains claim Teva “unlawfully suppressed generic competition to branded Copaxone,” even after more affordable versions became available. The complaint also alleges that Teva launched a misleading marketing campaign to question the efficacy of generics—despite internal knowledge that increasing dosage strength had no meaningful clinical benefit.

    This legal action follows recent enforcement against Teva by federal authorities. In 2024, the U.S. Department of Justice ordered the company to pay more than $450 million to resolve separate allegations. According to a statement from the DOJ, Teva violated the Anti-Kickback Statute by funneling money through charitable foundations to subsidize patient copays for Copaxone, thereby increasing its own profits under the guise of patient assistance. The company was also accused of price-fixing in collaboration with other drug manufacturers concerning a widely-used cholesterol medication.

    In response to the Vermont filing, Teva has petitioned the court to dismiss or relocate the case, asserting that the claims breach the first-to-file rule because they largely replicate the issues under litigation in New Jersey.

    Source: My San Antonio