Devoted to Corporate Attorneys, Corporate Lawyers, and Corporate Counsel

The following is not meant to be legal advice.

The Warner Chilcott settlement in October 2006 which did not include Barr Pharmaceuticals was approved by a federal district court judge in Washington, D.C. The settlement with Warner Chilcott includes injunctive provisions prohibiting Warner Chilcott from entering into similar arrangements in the future, and requires Warner Chilcott to take steps to preserve the market for regular Ovcon for three months, providing Barr Pharmaceuticals the opportunity to compete with its generic version. The FTC action was joined by state attorneys general and private parties who have sought monetary relief from Warner Chilcott and Barr Pharmaceuticals.

The suit reflects the FTC's continued focus on challenging conduct in the pharmaceutical industry that may be against antitrust laws, including unilateral conduct (e.g., the filing by brand firms of improper Orange Book listings with the FDA to delay generic entry) and agreements among potential competitors to share branded monopoly profits (e.g., payments by brands to generics in patent infringement settlements that the FTC alleged delayed generic entry).