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Drug Pricing, Market Power, and the EpiPen Litigation

Drug Pricing, Market Power, and the EpiPen Litigation

epinephrine auto-injectors

Few drug-pricing controversies have drawn as much national attention as the litigation surrounding EpiPen, a life-saving epinephrine auto-injector manufactured by Mylan.

Between 2008 and 2016, the price of a two-pack of EpiPens rose from approximately $100 to more than $600. Investigations and subsequent litigation alleged that these price increases were not the result of market forces alone, but part of broader anticompetitive and deceptive practices designed to preserve monopoly power and suppress generic competition.

Claims brought by states and private plaintiffs included allegations that Mylan misclassified EpiPen to avoid higher Medicaid rebates, paid substantial rebates to Pharmacy Benefit Managers (PBMs) to block competing products, used patent litigation to delay generics, and engaged in misleading marketing practices. These actions resulted in multiple settlements, including a $465 million resolution of False Claims Act allegations related to Medicaid overpayments and a $264 million antitrust settlement in 2022.

JBF Experience Highlight

For several years, The Joel Bieber Firm served as Outside Counsel to the Commonwealth of Virginia in the EpiPen litigation, supporting claims involving consumer protection, antitrust violations, and overpayment by Medicaid and consumers. This work included developing damage models using CMS data and claims-level Medicaid reimbursement information to assess restitution, disgorgement, and civil penalties.

Beyond EpiPen, JBF attorneys bring extensive experience in consumer fraud and deceptive practices litigation, including matters involving pharmaceutical products, medical devices, and consumer safety—experience that directly informs state-level enforcement actions.

Filed Under: Drug Pricing & PBM

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