Teva's Cephalon inked $125M settlement with 48 states over generic delays

Frazer, Pa.-based Cephalon — a subsidiary of Israel-based Teva Pharmaceuticals — reached a $125 million settlement with 48 states after an investigation found Cephalon purposefully delayed generic versions of its sleep disorder drug Provigil.

The states alleged Cephalon "made misrepresentations" to the U.S. Patent and Trademark Office, which "damaged the states and eligible consumers," according to the settlement. However, Cephalon denied the allegations.

The settlement allocates $35 million for consumers who purchased Provigil.

In May 2015, Cephalon reached a $1.2 billion settlement with the Federal Trade Commission over issues with the same drug. The settlement resolved an antitrust lawsuit regarding Cephalon illegally blocking generic competition with Provigil.

Pennsylvania U.S. District Judge Mitchell Goldberg will review the settlement. Mr. Goldberg has overseen Cephalon's other litigation involving Provigil.  

More articles about supply chain:
CVS scraps coverage of 2 brand-name biotech drugs for biosimilars
Drug company drives $48k brain-eating amoeba treatment to SC hospital
Transforming data into insights that drive better outcomes

Copyright © 2022 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.