Boston, MA 09/09/2014 (wallstreetpr) – AbbVie Inc. (NYSE:ABBV) is gearing up for a legal battle with the U.S. Federal Trade Commission after being accused of barring the development of generic versions of AndroGel according to Reuters.
AndroGel One of the Top Selling drugs
AndroGel is a pill specifically developed to be used by men with low testosterone levels Also entangled in a battle with the FTC is Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA). The regulator is accusing the two companies of unfair trade practices that resulted in people paying millions of dollars for the pill as opposed to the fact that they could have had a cheaper option of the same pill. The FTC has already gone to court to push AbbVie Inc. (NYSE:ABBV) to refund money to people who were affected by its actions.
AbbVie Inc. (NYSE:ABBV) looks to have been protecting AndroGel from any generics on the fact that it is its second highest selling drug with sales of approximately $472 million for the first half of the year. The FTC is also accusing AbbVie of filing for unwarranted patent infringement against Teva that saw the latter refraining from developing any form of generic for AndroGel.
AbbVie Colludes with Teva
AbbVie and Teva are reported to have reached an agreement in which Teva paused its development of the generic version of AndroGel in exchange of being granted permission to sell a generic version of cholesterol drug, Tricor. AbbVie Inc. (NYSE:ABBV) has already rubbished FTC allegations stating that its settlement with Teva was lawful also reiterating that its patent infringement allegations did not have any faults.
The FTC has for some time been pursuing large drug makers who have always resorted to unconventional ways of preventing their rivals from developing any generics of their main drugs. The agency has also been pushing for the legislation of rules that would bar some of these companies from entering into agreements intended to suppress generic drugs development.