Blog

Oct 31, 2023

Wisconsin settles antitrust lawsuit with Suboxone maker

The Wisconsin Department of Justice along with 40 other states and the District

The Wisconsin Department of Justice along with 40 other states and the District of Columbia has settled a lawsuit for $102.5 million against the makers of anti-opioid addiction drug Suboxone for what it alleges are violations of antitrust law.

Indivior — the company that manufactures Suboxone — attempted to "destroy competition" by preventing generic Suboxone tablets from coming onto the market, according to Assistant Attorney Gen. Gwendolyn Cooley, the state's lead attorney on the case.

Cooley estimated that the number of users of Suboxone in Wisconsin was in the millions.

According to the plaintiffs in the lawsuit, Indivior engaged in an anticompetitive practice known as product hopping where the company attempted to prevent the use of generic drugs by switching the market from its branded Suboxone tablets to branded Suboxone film.

The plaintiffs alleged Indivior raised prices of the branded tablet to force consumers to switch to film strips. They further accused Indivior of misleading doctors, insurers and Medicaid about the safety benefits of film relative to tablets.

Another tactic Indivior employed was to file a citizen petition with the Food and Drug Administration, saying that the company was going to withdraw its Suboxone tablets from the market because they were unsafe.

Cooley described the petition as a "sham" and said that it was the view of the plaintiffs that the petition was filed to destroy the market for Suboxone tablets and force all consumers to use Suboxone film.

Indivior did eventually pull Suboxone tablets from the market, which Cooley alleges was done in order to prevent pharmacists from substituting generic tablets for prescriptions written for Suboxone.

The end result of Indivior's maneuvers?

"Forcing the switch from tablets to film meant that [consumers] ultimately paid higher prices," Cooley said. "In many cases, Medicaid paid higher prices, as well as private payers, like insurance companies, self-funded businesses and individuals."

Wisconsin began investigating Indivior's actions in 2014 and filed the lawsuit, in collaboration with 41 other states, in 2016.

After seven years of legal maneuvering, which was partially elongated by the COVID-19 pandemic, the parties agreed to a settlement this June. A trial date had been set for September 2023.

"I’m proud that Wisconsin DOJ led this significant multistate effort and is bringing this case to a successful conclusion," Attorney General Josh Kaul said in a press release. "However long it takes, we will continue to hold companies accountable for alleged anticompetitive activities."

Indivior was not required to admit liability in the settlement, and the company described itself as a "responsible steward of medications for addiction" in a press release.

Wisconsin's share of the $102.5 million settlement is $7.5 million.

"That's a substantial share, and partly reflects the fact that Wisconsin has put in a considerable amount of time on this case over the last eight-plus years," Cooley said.