Government
Bill to end generic drug delays clears House subcommittee
NEWS IN BRIEF — Posted June 15, 2009
A House Energy and Commerce subcommittee on June 3 voted 16-10 along party lines to approve a bill that would prohibit brand-name drug firms from settling patent dispute cases by paying generic drugmakers to delay the marketing of generics, an arrangement sometimes called "pay-for-delay."
The measure, known as the Protecting Consumer Access to Generic Drugs Act, is sponsored by Rep. Bobby Rush (D, Ill.). "During a time when we are deliberating on universal health care and ways to cut down costs, this bill will save taxpayers and consumers billions of dollars from increased generic competition in the marketplace," said Rush, chair of the subcommittee that adopted the bill.
But Generic Pharmaceutical Assn. President and CEO Kathleen Jaeger said the bill could actually narrow access to generic drugs. "Limiting the parties' ability to settle patent disputes would discourage legitimate pro-consumer settlements that result in early market entry and would result in fewer patent challenges, which would lead to delayed market entry and a substantial loss of savings for consumers," she said.
American Medical Association policy supports the Federal Trade Commission in its efforts to end pay-for-delay arrangements. The House Judiciary Committee held a June 3 hearing on the issue.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2009/06/15/gvbf0615.htm.