Takeda Broke Antitrust Laws by Delaying Anti-Constipation Drug, Class Action Lawsuit Alleges

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Takeda Pharmaceutical and Par Pharmaceuticals caused consumers to overpay for medication by hundreds of millions of dollars by delaying a generic anti-constipation drug, a new class action lawsuit alleges.

The class action lawsuit was filed in Massachusetts in June by lead Plaintiffs FWK Holdings and Meijer Inc., direct purchasers of Takeda’s anti-constipation drug Amitiza, Law360 reported.

According to the lawsuit, Takeda paid Par to keep a generic version of Takeda’s anti-constipation drug Amitiza off the market for more than six years, breaking antitrust laws.

FWK Holdings and Meijer Inc. say the deal stopped customers from accessing a cheaper generic version of the drug, and also blocked any other generic versions from coming to market because Par had been awarded a window of regulatory exclusivity, Law360 reports.

“And, as a result of delayed generic competition … purchasers paid far more and Takeda and Par made many hundreds of millions of dollars more than they otherwise would have,” the claim reads.

Amitiza, first approved by the US Food and Drug Administration in 2006, is often taken to help treat side effects of irritable bowel syndrome or chronic constipation caused by the use of opioids.

In 2010, Par asked the FDA for permission to make a generic version of the drug — a move that was fought by Takeda. Takeda lost that fight but took legal action. In 2014, the companies reached a settlement, whereby Par agreed to hold off on releasing the generic version of the drug until 2021.

According to the class action lawsuit, the settlement was worth “at least $29 million and as much as $280 million, far more than Par would have earned even had it prevailed in the patent litigation.”

The anticompetitive agreement also meant that people who needed the medicine were stopped from accessing a cheaper generic version years earlier, and overpaid for Amitiza by hundreds of millions of dollars, Law360 reports.

There is still no generic version of the drug available.

In May, Takeda reached a $25 million class action settlement with Canadian consumers who may have developed bladder cancer or other ailments after taking diabetes drug Actos.

What do you think about Takeda delaying a generic version of Amitiza? Let us know in the comments section!

The drug buyers are represented by Thomas M. Sobol, Lauren Guth Barnes, Jessica R. MacAuley and Bradley J. Vettraino of Hagens Berman Sobol Shapiro LLP; Joseph M. Vanek, David P. Germaine, Eamon Kelly and John Bjork of Sperling & Slater PC; and John D. Radice, Daniel Rubenstein and Natasha Fernandez-Silber of Radice Law Firm PC.

The Takeda Antitrust Class Action Lawsuit is FWK Holdings LLC et al. v. Takeda Pharmaceutical Company Ltd. et al., Case No. 1:21- cv-11057, in the U.S. District Court for the District of Massachusetts.

Read About More Class Action Lawsuits & Class Action Settlements:

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• Amarin Pharma Drove Up Price of Heart Drug, Says Antitrust Class Action Lawsuit
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• Amarin Pharma Hoarded World’s Supply of Key Drug Ingredient to Prevent Competition, Class Action Alleges