UnitedHealthcare Sues Generic Manufacturers for Alleged Price-Fixing

UnitedHealthcare accused dozens of generic drugmakers of a price-fixing conspiracy in a lawsuit that echoes previous complaints by Humana and a coalition of state attorneys general.

The suit, filed in the District of Minnesota, names a group of core conspirators including Actavis, Heritage, Mylan, Par, Sun, Taro, Teva and Sandoz. The drugmakers, it alleges, instituted “unprecedented” price hikes for more than 30 drugs, including the bronchodilator albuterol, the muscle relaxant baclofen, the antibiotic doxycycline and the hyperthyroidism treatment levothyroxine.

The price increases were agreed upon without any reasonable economic or market justification other than collusion, the lawsuit claims. UnitedHealthcare accuses the defendants of conspiring via telephone, text messages and emails as well as one-on-one meetings at trade association gatherings.