Court Rules That Price-Fixing Lawsuit Against Drugmakers Can Continue

A federal court in Pennsylvania has ruled that price-fixing litigation against several dozen generic drugmakers can go ahead.

The lawsuit in the U.S. District for Eastern Pennsylvania accuses multiple drugmakers including Actavis of a broad scheme to fix prices on dozens of generic drugs, such as the corticosteroid skin treatment fluocinonide and the beta-blocker propranolol.

The companies also are accused of dividing market share for the drugs between each other, leaving no incentive for offering the drugs to pharmacies at lower prices. 

Separate antitrust lawsuits against the drugmakers are currently ongoing, including a suit by 41 states, the District of Columbia, and Puerto Rico.