US: Government seeks $1B for pay-for-delay schemes

The US Federal Trade Commission is reportedly seeking $1 billion for so-called pay-for-delay schemes.

The FTC said at a conference that the damages are being sought from pharmaceutical companies being sued by the regulator for paying generic rivals to delay the release of their cheaper competition onto the market. The US Supreme Court ruled last June that the FTC could challenge such agreements in federal court.

The remarks were made by FTC’s Deborah Feinstein, the regulators director at the Bureau of Competition, at the American Bar Association’s spring meeting.

My hope is that we get a billion-dollar settlement in tone of the patent-settlement, pay-for-delay cases,” she said in reference to developments for the authority this year.

While no such settlement is expected in the immediate future, Feinstein said that pay-for-delay schemes are “one of the biggest priorities” for the FTC.

The FTC is currently pursuing cases against Solvay, Paddock Laboratories, and Teva-owned Cephalon, according to reports.

Full Content: Reuters

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