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House Bill Would Ban Reverse Payment Settlements

Law360 (March 26, 2009, 12:00 AM EDT) -- U.S. Rep. Bobby Rush, D-Ill., has introduced legislation that would prohibit makers of brand-name drugs from paying generics makers to keep generic competition off the market.

H.R. 1706, or the Protecting Consumer Access to Generic Drugs Act of 2009, introduced Wednesday, targets controversial so-called reverse payment settlements, which have already sparked lawsuits by consumers and the Federal Trade Commission.

A reverse payment settlement typically resolves a patent lawsuit by a brand name drugmaker against a generic rival over an abbreviated new drug application. Instead of risking...
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