FTC highlights new concern over 'pay-to-delay' deals that determine when generics are sold

White & Case Antitrust partner Kevin Adam spoke to STAT about the FTC's recent report on patent settlements between brand-name and generic drug makers, specifically regarding whether so-called "quantity restrictions" could be reverse payments under the Supreme Court's decision in Actavis.

"A brand manufacturer with a presumptively lawful patent that allows a generic manufacturer to enter the market early and sell a generic early is inherently pro-competitive. And that's what the Supreme Court was looking for," he said. "But the fact that the FTC has put [quantity restrictions] in the report could encourage private plaintiffs to assert that [as an issue in lawsuits] in the future.

Speaking to how this report may impact patent settlement strategies, Kevin added, "I don't expect to see major changes in how parties settle these cases. It's an area of law that's evolving and there's no shortage of creative arguments. But I don't think you'll see quantity restrictions eliminated from patent settlement agreements moving forward."

See the full article from STAT here.

Press contact
For more information please speak to your local media contact.