Allergan Accused of Blocking Generic Alternatives to Restasis

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Allergan, Inc. is facing a proposed class action lawsuit that claims it unlawfully attempted to block other companies from competing with it in the market for cyclosporine emulsion drugs. The suit alleges that the defendant held patents for Restasis, a prescription medicine used to treat “dry eye,” that prohibited potential competitors from selling generic alternatives to the drug. When the patents were set to expire, the complaint continues, Allergan attempted to prolong its hold over the market by obtaining a new set of patents that, according to the suit, falsely claimed Restasis’ new formula “showed unexpected effectiveness and surprising test results.”

The new patents were allegedly challenged by various pharmaceutical companies, and Allergan resorted to transferring ownership of the patents to the Saint Regis Mohawk Tribe to exploit its tribal immunity and have any competitors’ claims dismissed, the suit says.

Finally, the complaint claims the defendant filed lawsuits against its competitors that automatically delayed FDA-approval of their generic versions of Restasis by 30 months.

The plaintiff argues that as a result of Allergan’s alleged behavior, proposed class members were forced to pay “supracompetitive” prices for Restasis instead of being offered less expensive, and just as effective, generic alternatives.