
A federal appeals court has revived a proposed class action accusing four major drugmakers of conspiring to restrict a government-mandated drug discount program, allegedly driving up costs for safety-net hospitals and clinics serving low-income patients.
The lawsuit, brought by Mosaic Health Inc. and Central Virginia Health Services Inc., claims Sanofi SA’s (NASDAQ:SNY) Sanofi-Aventis U.S., Eli Lilly and Co (NYSE:LLY)., Novo Nordisk A/S (NYSE:NVO), and AstraZeneca Plc’s (NASDAQ:AZN) AstraZeneca Pharmaceuticals LP coordinated to limit price breaks on diabetes drugs provided through the Section 340B Drug Discount Program.