Abbott settles TriCor lawsuits for $184 million

Abbott Laboratories has settled a lawsuit related to the sale of its cholesterol-lowerer TriCor and will pay out around $184 million to resolve the claims.

The case that has been settled, which was brought in a Delaware court by generic drugmakers, retailers and wholesalers, involved changes made to formulations of TriCor (fenofibrate). Abbott had introduced a slightly modified version of its existing formulation of TriCor which meant that pharmacists could not substitute a generic for the branded version of the drug, which had third-quarter sales of $307 million (+1.7%).

In a regulatory filing, Abbott said it plans to record the payments as a specified item in the fourth quarter, noting that settlement agreements have also been reached resolving some other fenofibrate litigation. The amounts in those settlements are not material, the firm added.

Still unresolved is a federal lawsuit that 25 state attorneys general brought earlier this year against Abbott and partner Solvay, which claimed that the firms violated antitrust law with the new TriCor formulations.

In agreeing to the settlement, Abbott has denied any wrongdoing, noting that the modification practice is perfectly legal and the change to the formulation benefited patients.