Class Action Suit Claims Actavis, Teva and Taro Fixed Prices of Generic Fluocinonide Cream

In yet another pressure point on generic drug prices, a class action suit filed in a Pennsylvania federal court claims Actavis, Teva, Sandoz, Fougera and Taro conspired to fix the prices of fluocinonide creams and gels.

The suit comes on the heels of separate congressional investigations and Justice Department subpoenas into several generics manufacturers accused of colluding to raise the prices of their products. In addition, a federal judge ordered that a class action suit against Teva, Actavis and five other companies over the prices of generic propranolol may proceed.

The new suit, brought by the Philadelphia Federation of Teachers Health and Welfare Fund, said the companies at least doubled their prices for fluocinonide between August and September 2014, in some cases hiking them over 600 percent. The cream is used to treat psoriasis, atopic dermatitis and allergic reactions.

The complaint cites separate investigations into generics price-fixing by congressional committees, as well as the Department of Justice. The complaint also pointed to a lawsuit brought against six generics manufacturers, including Teva, joined by the attorneys general of at least 40 states.