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New York Attorney General Questions Mylan EpiPen School Contracts

September 10, 2016

The pressure keeps mounting on Mylan for its EpiPen pricing practices, and now the New York attorney general’s office is investigating whether Mylan engaged in anticompetitive practices when entering contracts to sell its allergy therapy EpiPen to schools.

New York Attorney General Eric Schneiderman contends the company may have included anticompetitive terms in sales contracts, after a preliminary investigation of EpiPen sales indicated that several local school systems may have reached such agreements.

Those initial findings prompted a complete investigation into the company’s contracts with schools, the attorney general said Sept. 5.

Under Mylan’s EpiPen4Schools program, the company has dispensed more than 700,000 EpiPen injectors to over 65,000 schools.

Mylan contests the attorney general’s allegations, saying its program satisfies “all applicable laws and regulations.” Furthermore, the company said its contracts do not require purchases and no longer impose limits on schools purchasing discounted EpiPens.

The investigation follows increased scrutiny on the price of Mylan’s EpiPen, which swelled about 400 percent in less than a decade (IDDM, Sept. 3).

Despite several efforts to stave off criticism, Mylan continues to face pressure to explain the rise from $100 to $608. — José Vasquez