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March 28, 2006

R.I. among states to win settlement in Paxil lawsuit

PHILADELPHIA -- The maker of the antidepressant Paxil has agreed to pay $14 million to state Medicaid programs in several states, including Rhode Island, to settle allegations about its business practices.

The states said the drugmaker blocked generic versions of Paxil with frivolous patent-infringement lawsuits -- causing the states to pay higher prices.

The settlement was filed in federal court in Philadelphia today by several attorneys general.

Missouri Attorney General Jay Nixon said GlaxoSmithKline used the courts to hold onto a monopoly for a popular drug, hurting consumers and Medicaid programs.

-- The Associated Press

Posted by Steve Peoples  at 3:53 PM | Permalink