A 48-state, $125 million settlement has been reached with Cephalon.
The settlement includes Nebraska, according to the Attorney General’s office.
The settlement ends litigation against Cephalon that accused the company of anticompetitive measures that kept generic version of Provigil, a wakefulness drug, from entering the marketplace.
According to the Nebraska Attorney General’s office, Cephalon intentionally defrauded the United States Patent and Trademark Office to secure an additional patent on Provigil as the initial patent neared expiration. A court ruled the action invalid and unenforceable. Cephalon settled lawsuits in 2004 and 2006 by paying competitors to delay the release of generic versions of Provigil until April of 2012. The delay cost consumers hundreds of millions of dollars.
The settlement includes $35 million to consumers who bought Provigil.
The State of Nebraska will received $1.8 million from the settlement: $1.2 million to the state, an estimated $250,000 to Nebraska consumers, and approximately $285,000 for the State of Nebraska’s share of disgorgement and costs.