In a complaint filed with the federal court in Newark, New Jersey,
Shire accused Allergan of violating antitrust laws to preserve its
roughly 90 percent share in Medicare prescription drug plans for its
older and "clinically inferior" dry eye drug Restasis, and block
prescriptions of Shire's rival drug Xiidra.
"Quite simply, Allergan has and will continue to use bundled
discounts, exclusive dealing, coercion and interference to
unlawfully 'block' Shire from competing with it, and to maintain its
monopoly in the Part D market at all costs," Shire said, referring
to the Medicare drug plans.
The lawsuit follows Allergan's announcement on Sept. 8 that it
transferred its Restasis patents to the Saint Regis Mohawk Tribe in
upstate New York, whose sovereign status could limit legal
challenges. The Tribe subsequently agreed to license the patents to
Allergan.
Four U.S. senators last week called for a probe of whether the
unusual move was anti-competitive and intended to keep prices high.
Restasis is Allergan's largest drug other than Botox, with sales of
$1.49 billion in 2016 and $676.4 million in the first six months of
2017, regulatory filings show. Shire has said Xiidra sales totaled
$96 million from January to June.
Allergan spokesman Mark Marmur said the lawsuit has no merit, and
the company complies with Medicare procedures.
"Competition in the chronic dry eye therapeutic market has driven
pricing down for patients and payers in Medicare Part D and
commercial plans," he said in an email. "Restasis continues to
provide significant value to Medicare beneficiaries, providers and
the Part D program."
[to top of second column] |
Dry eye occurs when the eye produces tears improperly or with the
wrong consistency. Failing to treat it can lead to inflammation,
scarring and even vision loss. The condition is often chronic, and
affects nearly 16 million U.S. adults.
Allergan and Shire are headquartered in Dublin, Ireland, although
Allergan has operations in Parsippany, New Jersey, and Shire in
Lexington, Massachusetts.
Shire won U.S. Food and Drug Administration approval in July 2016
for Xiidra, the first dry eye disease drug to win FDA approval since
Restasis in 2002.
The chemical name for Restasis is cyclosporine, and for Xiidra it is
lifitegrast.
The case is Shire US Inc v Allergan Inc et al, U.S. District Court,
District of New Jersey, No. 17-07716.
(Reporting by Jonathan Stempel in New York; Editing by Dan Grebler)
[© 2017 Thomson Reuters. All rights
reserved.] Copyright 2017 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
|