Shire Alleges Allergan Blocked Drug From Medicare Contracts

Source: Shire

Monday, October 02, 2017 | Corporate Lawsuits , Dry Eye , Allergan , Shire


Shire filed an antitrust suit against Allergan alleging Allergan’s contracts with Medicare Part D drug plans for its Restasis eye drops effectively blocked access to Shire’s rival drug, according to a report in the Wall Street Journal.

The complaint, filed Monday in federal court in Trenton, New Jersey, says Shire offered steep discounts in bids to secure insurance coverage of the company’s dry-eye drug Xiidra but the Part D plans refused, due to Allergan’s “bundled discounts, exclusive dealing” and other tactics.

“There was not a level playing field for us to compete” in Part D, John Neeley, Shire’s head of U.S. pricing and market access, said in an interview with the WSJ. Some 13% of Part D patients have access to Xiidra on their drug formularies, compared with about 88% of commercially insured patients, a Shire spokeswoman says.

Read the full article here.


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