AAM Sues Over California ‘Pay-For-Delay’ Law
Calls The California Law ‘Bad Policy’ And ‘Unconstitutional’
The AAM has filed a lawsuit seeking an injunction to prevent the implementation of Californian legislation banning ‘pay-for-delay’ deals. The law is due to come into effect in January next year.
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A judge in California has agreed to instate a temporary injunction against a state law designed to curb so-called ‘pay-for-delay’ deals, handing victory to generics and biosimilars industry association the AAM.
A court timeline has been set out for the latest attack by the AAM on Californian legislation that deems “pay-for-delay” litigation settlement deals anticompetitive.
As the AAM failed to demonstrate a “concrete or imminent” injury to its member companies, a US appeals court has rejected the agency’s challenge to the Californian law banning “pay-for-delay” deals.