OLYMPIA, WA — Washington Attorney General Nick Brown announced Monday that two pharmaceutical companies have agreed to pay a combined $17.85 million to resolve allegations tied to a long-running conspiracy to fix prices on generic prescription drugs.
The settlements, reached alongside a coalition of 48 states and territories, involve Lannett Company Inc. and Bausch Health US LLC, along with Bausch Health Americas Inc. The agreements resolve allegations that the companies participated in widespread efforts to artificially inflate prices, limit competition, and restrain trade for numerous generic medications.
State attorneys general allege the conspiracy caused consumers to pay significantly higher prices for some generic drugs, in some cases more than ten times their original cost. The medications involved range from antibiotic ointments to cancer treatments.
As part of the settlements, Lannett and Bausch have agreed to cooperate with ongoing multistate litigation against remaining defendants and to implement internal reforms aimed at ensuring compliance with antitrust laws. The settlements follow earlier agreements with Apotex and Heritage Pharmaceuticals totaling $49.1 million. The first trial in the broader case is expected to take place in late 2026 in Connecticut.
Brown said the state will continue efforts to hold companies accountable and pursue restitution for consumers and businesses harmed by the alleged conduct.
Washingtonians who purchased certain generic prescription drugs between May 1, 2009, and Dec. 31, 2019, may be eligible for compensation. Businesses in Washington and Idaho that indirectly purchased or reimbursed the cost of affected drugs during that time period may also qualify for restitution.
In addition to the settlements, Brown announced that 42 states and territories have filed a new antitrust lawsuit against Novartis and its generic subsidiary Sandoz. The complaint alleges the companies conspired with other manufacturers to fix prices, allocate markets, and rig bids for 31 generic drugs. The lawsuit also alleges Novartis took steps to shield itself from liability by transferring assets and spinning off Sandoz.
The lawsuit marks the fourth complaint filed in the multistate investigation, which targets dozens of pharmaceutical companies and executives. Attorneys general say the cases are supported by millions of documents, extensive phone records, and cooperating witnesses who described coordinated pricing discussions held during industry events and private communications.
More information about eligibility for compensation is available through the multistate generic drugs settlement program.
