Utah has secured a $1.52 million settlement from Sandoz, Inc. following allegations of price-fixing in the generic pharmaceutical market. The Utah Department of Commerce’s Division of Consumer Protection and the Office of the Utah Attorney General announced that this is part of a multistate enforcement action targeting unlawful pricing practices by drug manufacturers.
The broader lawsuit, initiated by attorneys general across the country, alleges that Sandoz and other companies conspired to fix prices between 2009 and 2014. Utah joined the litigation in 2016. As part of the settlement, Sandoz must refrain from engaging in price-fixing, bid-rigging, or market-allocation for five years and continue its current antitrust compliance program.
“When pharmaceutical companies manipulate the market, it drives up costs for everyday Utahns who need access to affordable medications,” said Utah Attorney General Derek Brown. “We’re committed to ensuring that Utahns pay fair prices for the prescriptions they depend on.”
In addition to recovering funds for the state, Utah consumers may be eligible for compensation through a separate $275 million settlement previously reached between Sandoz and end-payor plaintiffs earlier this year. This agreement offers financial relief to individuals who purchased generic drugs during the affected period and experienced higher prices due to alleged collusion.
“We are incredibly proud of the work our Division of Consumer Protection is doing to protect Utah patients,” said Margaret Woolley Busse, Executive Director of the Utah Department of Commerce. “Utah will never stop pursuing justice for consumers against those who unlawfully inflate the price of potentially life-saving medication. We hope all affected Utahns will look into this settlement to determine if they can get any closer to being made whole in this price-fixing scheme.”
Consumers who bought generic medications at pharmacies or via mail order between 2009 and 2014 may qualify for compensation as part of that separate federal court-managed process.
The recent agreement with Sandoz does not conclude Utah’s claims against other defendants involved in similar litigation. The state continues legal efforts to hold additional parties accountable and maintain competitive pricing for essential medicines.
The Office of the Utah Attorney General and Division of Consumer Protection advise affected consumers to remain informed about available compensation options and future updates related to consumer relief under the federal end-payor settlement.