Pennsylvania's high court put drug design-defect claims on the menu for patients looking to sue for damages. In a closely watched case against Pfizer's Wyeth unit, the state Supreme Court reinstated claims that the company negligently designed and marketed a diet pill, Redux, that's now withdrawn from the market.
A so-called superseding federal indictment today says former hedge fund trader Mathew Martoma, accused of insider trading in Elan and Wyeth stock, had not one but two doctors giving him the inside scoop that allowed his hedge fund to record more than $275 million in profits and losses avoided.
Last fall noted neurologist and Alzheimer's investigator Sid Gilman figured prominently in a massive insider trading case brought by the SEC. Today a second, unnamed physician surfaced in a related indictment.
The Federal Trade Commission has submitted an amicus brief in an antitrust case pitting drug retailers against Wyeth and Teva Pharmaceutical Industries, in a challenge to the companies' Effexor XR settlement.
According to the Justice Department, Wyeth trained sales reps to push Rapamune for unapproved uses and offered bonuses to persuade them to flog the drug for patients it wasn't cleared to treat.
When Teva Pharmaceutical Industries launched a generic version of Protonix in 2007 before its patent expiration, it set aside $670 million to compensate Pfizer for lost profits on the drug. But with a settlement announced today, the company is finding itself $1.6 billion short.
Pfizer catapulted itself into the vaccine big leagues in 2009 by merging with Wyeth, and continued demand for Prevnar 13 has seen it consolidate its position. Analysts predict its sales could dwarf other vaccines--hitting $6.7 billion in 2018--but recent quarters suggest it will be a bumpy ride.
Turns out, Teva Pharmaceutical Industries' ($TEVA) at-risk launch of copycat Protonix was really, really risky. The company now says it's looking at up to $2 billion in legal losses, to compensate Pfizer ($PFE) for lost profits on the drug.
It's a state court ruling. It directly affects only one drugmaker. But the Alabama Supreme Court's decision to allow a patient to sue Pfizer for damages could ripple through the industry--and not in a good way for branded drugmakers.
Another marketing settlement has been wrung out of a Big Pharma player, with Pfizer ($PFE) this time paying $55 million and change to clear up a problem it acquired.