J&J Faces Antitrust Probe By FTC For Its Rheumatoid Arthritis Drug
Reportedly, in June The Federal Trade Commission (FTC) issued civil subpoenas to Johnson and Johnson to investigate whether contracting practices for Remicade, its popular rheumatoid arthritis drug, violates antitrust laws. J&J confirmed the investigation by the FTC and informed that a “civil investigative demand,” or CID has been issued to check on the legal matters of its contracting practices.
In 2017, Pfizer Inc filed a lawsuit against J&J stating Johnson’s drug Remicade was anticompetitive and raised concerns over its contracts with health insurers for blocking sales of Pfizer’s biosimilar called Inflectra by offering discounts in exchange for giving preference to Remicade. J&J denied the allegations and continues to fight with Pfizer over the charges.
“As Pfizer’s complaint alleges, J&J’s unlawful conduct is designed to prevent Inflectra from being able to compete on its primary point of differentiation – price. Today, Inflectra has an average selling price (ASP) that is more than 22% lower than Remicade.” , “Despite these facts, J&J has not lost substantial volume or share of sales – counter to what should occur in a competitive market.” ,” the company said in a statement.
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