RICO Claims Against GSK Over Avandia Survive
A federal appeals court has allowed RICO claims to go forward against GlaxoSmithKline on allegations the company affected prices by misrepresenting the heart-related risks of taking Avandia.
October 26, 2015 at 12:57 PM
5 minute read
A federal appeals court has allowed RICO claims to go forward against GlaxoSmithKline on allegations the company affected prices by misrepresenting the heart-related risks of taking Avandia.
A three-judge panel of the U.S. Court of Appeals for the Third Circuit on Monday upheld a district court's decision denying the pharmaceutical giant's efforts to toss the plaintiffs' claims for unjust enrichment and violations of the Pennsylvania Unfair Trade Practices and Consumer Protection Law.
The plaintiffs, which are three labor unions, are alleging GSK withheld information about Avandia to increase sales of the drug, and led them to pay higher rates for coverage of the drug.
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