Claim period extended in ‘pay-for-delay’ settlement for sleep disorder drug

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Delaware residents who paid for the brand-name drug Provigil or generic modafinil from June 24, 2006, to March 31, 2012 are asked to  file claims in a $125 million multistate settlement that provides $35 million for distribution to consumers, the Delaware Department of Justice stated.

The states asked and the court extended the time to file claims in the settlement until June 25, 2017.

Provigil, which includes the active ingredient modafinil, is approved by the federal Food and Drug Administration (FDA) to improve wakefulness in adult patients with excessive sleepiness associated with narcolepsy, obstructive sleep apnea and shift work disorder.

In August 2016, Delaware and 47 other state attorneys general announced the settlement with biopharmaceutical company Cephalon and its affiliated companies, including Teva Pharmaceutical Industries, Teva Pharmaceuticals USA and Barr Laboratories, that resolved allegations that the companies engaged in unlawful “pay-for-delay.”  

“Pay-for-delay” means when a branded drug company seeks to unlawfully maintain its exclusive rights by paying a would-be generic competitor to delay entry into the market and thus keep prices at artificially high levels.

The states denounced conduct by the makers of Provigil that resulted in the generic drug’s delay in reaching market, therefore precluding consumers from benefiting from the reduced cost of the generic drug versus the more expensive brand-name Provigil.

Deputy Attorney General Michael Undorf of the Consumer Protection Unit represented Delaware in the case.

For more information or to obtain a claim form, visit www.StateAGProvigilSettlement.com, or call 1-877-236-1413. 

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