Pfizer Cleared in Antitrust Lawsuit Involving Generic Drug Pricing

Pfizer has been dismissed from a major antitrust lawsuit in which several U.S. states accused drug manufacturers of fixing generic drug prices. Connecticut Chief Judge Michael Shea ruled that there was insufficient evidence to prove Pfizer and its former unit, Greenstone, conspired to manipulate prices between 2010 and 2014.

Pfizer has been dismissed as a defendant in a significant antitrust lawsuit where multiple U.S. states alleged several drug manufacturers, including executives, were involved in fixing prices of generic drugs, leading to overpricing for patients.

Chief Judge Michael Shea of the federal district court in Connecticut ruled on Tuesday that the states could not demonstrate Pfizer and its former Greenstone unit collaborated with competitors between 2010 and 2014 to manipulate bids and allocate customers for six drug products. The case included generic versions of Eplerenone tablets, Latanoprost drops, and four variations of Clindamycin phosphate.

The states accused Greenstone executives of communicating over 360 times with Swiss drugmaker Sandoz to synchronize anticompetitive actions. However, the judge concluded that no reasonable jury could find proof that Pfizer, based in New York, directly engaged in price-fixing, was aware of Greenstone's collusion when authorizing price changes, or was liable because Greenstone served as its agent. In 2020, Pfizer spun off Greenstone in a deal leading to the creation of Viatris.