‘Pay to Delay’ Generic Drug Arrangements Banned in California (1)

California is the first U.S. state to ban drugmakers from brokering agreements that delay generic drugs from reaching the market with a bill signed by Gov. Gavin Newsom (D).

“California will use our market power and our moral power to take on big drug companies and prevent them from keeping affordable generic drugs out of the hands of people who need them,” Newsom said. “Competition in the pharmaceutical industry helps lower prices for Californians who rely on life-saving treatments.”

California Attorney General Xavier Becerra (D) backed the measure, A.B. 824, to target settlements in drug patent infringement lawsuits between brand-name ...