Drug maker settles in antitrust case

AUGUSTA – Maine and some consumers from the state will be among those to benefit from a $55 million settlement agreement with Bristol-Myers Squibb Co. over an antitrust lawsuit involving the cancer-fighting drug Taxol.

Maine joined the other U.S. states and territories in alleging that the manufacturer unlawfully blocked the entry of less expensive generic drugs into the marketplace, according to Maine Attorney General Steven Rowe.

The settlement calls for the states and consumers to share in the national $55 million recovery and for Bristol-Myers Squibb to refrain from anti-competitive conduct and provide free quantities of Taxol to health care facilities serving certain eligible patients.

The settlement was filed Thursday with U.S. District Court Emmet G. Sullivan in Washington, D.C., and requires approval from the court to become effective. If approved, the attorneys general will implement a claims administration process for consumers who purchased Taxol or its generic equivalent between Jan. 1, 1999, and Feb. 28, 2003.

The settlement sets aside about $12 million of the total for a nationwide consumer distribution to compensate consumers who may have paid higher prices for Taxol. State programs that overpaid for Taxol will split about $37 million.

The ultimate allocation among the states and territories has not yet been determined.

“For purchasers of prescriptions, the availability of a generic equivalent may be the only way they can afford essential medical treatment,” said Assistant Attorney General Christina Moylan, who handled the case for Maine.