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Supreme Court Ruling on Rx Industry's Pay-to-Delay-Generics Good News for NY Consumers
Date:6/17/2013

NEW YORK, June 17, 2013 /PRNewswire-USNewswire/ -- A little known drug industry tactic to keep generic prescriptions from consumers, has come under scrutiny by the U.S. Supreme Court – and a ruling from the highest court in the nation on the issue could not have come at a better time for New Yorkers. 

AARP says the issues that result from the Rx industry tactic are all too apparent in New York State.  According to a new AARP survey of 50+ New Yorkers, state residents are in a near Rx state of crisis, with the majority concerned about being able to pay their soaring Rx bills with many are resorting to drastic measures.

The industry approach is called pay-to-delay, and it occurs when a brand name pharmaceutical company pays a manufacturer of a lower-priced generic alternative to keep the generic from coming to the marketplace.  The goal: drive consumers to the more expensive brand name drug for as long as possible.  It's that tactic that U.S. Supreme Court ruled today may be a violation of antitrust laws, and opened the door for consumers to sue along those grounds.

With many 50+ across the nation and here in New York struggling with ever-increasing prescription drug prices, AARP applauds today's decision.

Those looking to put a face to the problems caused by the tactic need look no further than the Empire State. The Rx crisis in New York, according to new AARP survey of 50+ votes in the state:

  • 80% of 50+ New Yorkers said they were concerned about being able to afford their prescription drugs.
  • 17% reported they were taking less than the prescribed amount to make it last longer.
  • 21% were delaying getting their prescriptions filled, or didn't get them filled at all because they didn't have enough money to pay for it.

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SOURCE AARP New York State
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