Pfizer paying $35 million to settle class action over Lipitor pricing

Consumers and insurers paid more for Lipitor because it kept competing generic drugs off the market, the consumer class action charges. Image (c) ConsumerAffairs

You may be eligible to participate in the settlement if you used Pfizer

Pharmaceutical giant Pfizer has agreed to pay $35 million to settle allegations that it unlawfully hindered the sale of Lipitor, a drug prescribed to lower cholesterol, resulting in buyers paying more for the medication. 

The lawsuit claims that Pfizer and Ranbaxy, an independent pharmaceutical enterprise, unlawfully kept generic versions of Lipitor off the market, so consumers and third-party payors paid more for brand and generic Lipitor than they should have. Pfizer and Ranbaxy deny that they did anything wrong. 

If you purchased Lipitor in any one of two dozen states or Washington, D.C., without the use of a Pfizer co-pay card, between June 28, 2011, and Nov. 29, 2011, or you purchased the generic atorvastatin calcium these locations between Nov. 30, 2011, and Dec. 31, 2012, you may be eligible for payment.

What to do

If you are eligible for payment, you must file a claim before Nov. 29, 2024. See the settlement website for more information. 

About the case

Consumers and third-party payors who filed the lawsuit claim that Pfizer and Ranbaxy broke state antitrust, consumer protection, and unjust enrichment laws to keep cheaper, generic versions of Lipitor off the market.

They argue that Pfizer unfairly obtained a patent and used it to delay other companies from making generic Lipitor. When these companies tried to make their own versions, Pfizer allegedly paid them to hold off on selling generics.

Additionally, they claim that Pfizer and Ranbaxy made a deal for Ranbaxy to delay bringing its generic Lipitor to the U.S. market, further reducing competition.

Pfizer and Ranbaxy deny these allegations, and there has been no court decision yet on whether these claims are true. Judge Peter G. Sheridan in New Jersey is overseeing the case, known as In re Lipitor Antitrust Litigation and must still give final approval to the settlement.

This lawsuit is not related to Lipitor's safety or effectiveness, and the settlement does not involve any claims about Lipitor's health effects.

About Lipitor

Lipitor is a prescription medication used to lower cholesterol. It's the brand name for a drug called atorvastatin, which belongs to a class of drugs called statins.  

Here's how it works:

  • Cholesterol: Your body needs some cholesterol, but too much can build up in your arteries and increase your risk of heart disease and stroke.  

  • Statins: Lipitor works by blocking an enzyme that your body needs to make cholesterol. This helps lower the amount of cholesterol in your blood.  

Who is Lipitor for?

Lipitor is often prescribed for people who:

  • Have high cholesterol levels.  

  • Have a family history of heart disease.

  • Have other risk factors for heart disease, such as diabetes or high blood pressure.