Maker of EpiPen Hit With Fraud & Racketeering Lawsuit Over Price-Gouging
A group of EpiPen purchasers have hit drug maker Mylan with a class-action lawsuit, claiming the company engaged in illegal price fixing to inflate the price of its allergy treatment over a decade by 574 percent.
According to the complaint filed in Washington state on Monday, Mylan acquired the rights to market and distribute EpiPen in 2007, and increased the list price 17 times, from $90.28 to $608.62, causing some patients to resort to carrying expired EpiPens, or to use syringes to manually inject epinephrine.
Plaintiffs argued the skyrocketing list price for the EpiPen was the result of Mylan’s behind the scenes payments of rebates to pharmacy benefit managers – CVS Caremark, Express Scripts and Optum Rx – which handle prescription drug benefit programs of insurance plans.
Mylan has tried every trick in the book to avoid taking accountability to the millions of people who are living without the EpiPen they need to prevent a life-threatening allergic reaction. Despite the fiction that Mylan has tried to sell the public and sell Congress, the numbers don’t lie – Mylan has been the motivating force behind the jaw-dropping 574 percent EpiPen price hike,”said Steve Berman, managing partner of Hagens Berman, which is representing the plaintiffs. “We say, let’s put it all on the table and let the courts decide. Mylan’s victims deserve their day in court.”
Mylan CEO Heather Bresch testified before Congress last year that the “system is broken,” and that few people end up paying the full list price.
However, the Seattle suit says that the pharma company willingly chose to participate in the scheme that ultimately raised out-of-pocket prices for consumers for both pre-deductible purchases and coinsurance costs.
Read more: https://www.rt.com/usa/383367-epipen-maker-hit-class-action/