AAM Urges Ninth Circuit to Halt Pay-For-Delay Ban

The Association for Accessible Medicines (AAM) has asked a federal appeals court to suspend California’s pay-for-delay ban pending an appeal of a lower court’s ruling.

California Gov. Gavin Newsom signed the legislation into law in October 2019, aimed at barring drugmakers from paying other companies to delay competing generics.

The generics trade group challenged California Attorney General Xavier Becerra’s assertion that the law — the nation’s first pay-for-delay legislation — merely bans what is already illegal. AAM argued that the law was adopted “specifically to prohibit agreements that are currently lawful.”

The brief in the Ninth Circuit Court of Appeals claims that the law will undermine its members’ ability to bring generics to market in a timely manner.