By: Melody Finnemore//March 29, 2012//
Melody Finnemore//March 29, 2012//
As pharmaceutical giant Pfizer Inc. settles a wave of multimillion-dollar class action suits related to some of its products, it could be a warning flag for other drug manufacturers, particularly those who do business in Oregon.
Earlier this month, Oregon Attorney General John Kroger鈥檚 office announced it had reached a $3.34 million agreement with Pfizer, the largest-ever consumer drug settlement reached independently by the Oregon Department of Justice.
The agreement capped a two-year investigation that alleged Pfizer was engaged in deceptive marketing claims about the prescription drug Zyvox. According to the AG鈥檚 office, Pfizer made unsubstantiated claims that Zyvox was a higher quality treatment for certain infections than other generic, less expensive options.
Pfizer, which also was dinged for failing to comply with Internet marketing practices laid out in a 2008 settlement, currently is settling with several members of a class action lawsuit related its to hormone treatment drugs as well.
Dennis Rawlinson, firm chair and partner with Miller Nash and a commercial litigator for more than 30 years, says he was particularly interested in one aspect of the case. Among the Oregon AG鈥檚 complaints against Pfizer, Kroger claimed the company鈥檚 conduct was a potential threat to public health because it increased the danger of microbial resistance to a second-generation antibiotic while the first generation antibiotic was still effective.
鈥淭hat is an issue that we鈥檙e going to be interested in going into the future,鈥 Rawlinson notes.
The Pfizer settlements should make other large drug companies sit up and take notice about their business practices as well, especially when it comes to considering the enforcement effort in Oregon, he adds.
鈥淚f we were to ask someone in the attorney general鈥檚 office they would say, 鈥榃e鈥檙e a state that takes these kinds of issues seriously and we鈥檙e diligently protecting our citizens.鈥 I think that鈥檚 a good reputation for our state to have,鈥 Rawlinson says.
Pfizer鈥檚 settlement will reimburse the State Accident Insurance Fund and Oregon corrections department for Zyvox purchases they made, and will fund a new Consumer Education and Antimicrobial Stewardship Program administered by the Oregon Public Health Division/Office of Disease Prevention and Epidemiology and the Oregon Patient Safety Commission. The balance of the settlement will support efforts to educate consumers about the proper use of antibiotics and fund the state’s consumer protection programs.