March 28, 2006
CURRAN ANNOUNCES $14 MILLION SETTLEMENT REGARDING
THE DRUG PAXIL
Maryland Attorney General J. Joseph Curran, Jr.
today announced a $14 million nationwide settlement concerning
the drug Paxil with
SmithKlineBeecham Corporation, which does business as GlaxoSmithKline.
Paxil, the trade name for paroxetine hydrochloride, is widely prescribed
to treat depression, anxiety and obsessive-compulsive disorder.
The settlement resolves claims that GlaxoSmithKline delayed generic
manufacturers from competing with Paxil by fraudulently listing
a patent for paroxetine hydrochloride with the U.S. Food and Drug
Administration and prosecuting litigation concerning that patent.
Curran said, "I will not allow drug companies to abuse the
patent system and overcharge the citizens of Maryland."
The settlement, filed in federal court in Philadelphia
yesterday, secures recovery for the State of Maryland’s claims for Medicaid
and other prescription drug plan purchases of Paxil on behalf of
indigent Marylanders. Other consumers’ claims as well as
the State’s claims for prescription drug purchases made as
part of its employee health benefit plan, are included in an earlier
private class action settlement, described in detail at www.paxilclaims.com.
The settlement proceeds will be distributed among
the states based on each state’s purchases of Paxil. Maryland
is expected to receive approximately $260,000.