A PYMNTS Company

US: Teva pleased to agree $225 million settlement

 |  January 30, 2017

Teva Pharmaceutical Industries is to pay $225 million to settle a pay-for-delay case dating back to the 1990s.

The case relates to allegations that Barr Pharmaceuticals, which has since been bought by the Israeli generics giant for nearly $9 billion, was paid $398 million by Bayer not to sell a generic of the German company’s antibiotic Cipro.

Bayer had previously sued Barr, arguing that its generic version would infringe a patent, leading to the settlement between the companies. A group of American activists who bought Cipro, however, said that the settlement violated antitrust law, driving up prices. The case began in 2000 but only now has Teva reached a final settlement with the California Supreme Court.

A statement from Teva read: “Teva has reached a settlement in the pending Cipro antitrust litigation that was inherited when Teva acquired Barr in 2008. Teva is pleased that this longstanding litigation has been resolved.”

This development comes just weeks after Teva reached a $520 million settlement with the US Department of Justice and Securities and Exchange Commission relating to charges of bribing officials in Russia, as well as Ukraine and Mexico.

Full Content: The Pharma Letter

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.