Mass. Balks At $55M Schering Price Inflation Deal

Law360, New York (July 23, 2009, 7:19 PM EDT) -- The state of Massachusetts wants to nix a proposed settlement in which Schering-Plough Corp. and its generics subsidiary Warrick Pharmaceuticals Corp. agreed to pay $55 million to resolve several lawsuits alleging that they reported inflated prices to Medicaid.

On Wednesday, Massachusetts filed a motion to intervene for the limited purpose of objecting to the settlement, saying its own suit against Schering and Warrick would be adversely affected.

The settlement purports to resolve Schering and Warrick's liability in those cases, but it also improperly seeks to resolve...
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