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Viatris Wins Summary Judgment in New York Securities Class Action Viatris Inc. (NASDAQ: VTRS) announced that the U.S. District Court for the Southern District of New York has dismissed all claims against the Company ...

Key Takeaway: Viatris Inc. announced that the U.S. District Court for the Southern District of New York dismissed all claims in a securities class action lawsuit against the company. The Court concluded that the plaintiffs' allegations lacked factual and legal grounds, affirming Viatris’ position on issues relating to EpiPen pricing and generic drug practices. The company stated its commitment to legal compliance and plans to continue defending itself against baseless claims.

Market Sentiment Analysis

POSITIVE FACTORS

  • The Court dismissed all claims against Viatris, affirming the Company’s legal position.
  • Four federal judges found no reasonable basis for the allegations against the Company.
  • The ruling reinforces Viatris’ commitment to compliance and legal transparency.

Full Press Release Details

All Pending Claims Have Been Dismissed
The Company is pleased that the Court agreed with its long-standing position that Plaintiffs' securities claims, as well as the allegations relating to the marketing, pricing and classification of EpiPen and alleged conduct concerning generic drug pricing on which those securities claims were based, lacked both factual and legal bases.
As the New York Court noted, "[w]ith the benefit of hindsight and a factual record developed over years of litigation, four federal judges have concluded that there is no reasonable basis to conclude that a Section 2 exclusive dealing violation occurred." Further, upon its own independent analysis of the record, the Court found that "the record is insufficient to permit a reasonable juror to conclude that there was substantial foreclosure" of competition and held that "no reasonable juror could find that [the Company] consciously or recklessly misled shareholders about its own self-perception of compliance with the antitrust laws."
Concerning allegations about EpiPen's classification for the purposes of the Medicaid Drug Rebate Program, the Court found "[t]here is no evidence in the record to sustain a reasonable inference that [the Company] knew EpiPen was erroneously classified and misled its shareholders despite this". The Court further found that the Company "acted reasonably in its reliance on CMS statements and other communications in determining how to rebate the EpiPen".
The Court also found that Plaintiffs' allegations concerning generic drug price fixing and market allocation failed to address "what economic rationality entails in the generic drug market" and credited the Company's explanations that its actions were consistent with the "industrial standard".
The company has always taken its compliance with the law seriously and will continue to vigorously defend itself against any baseless claims brought against it.
About Viatris Viatris Inc. (NASDAQ: VTRS ) is a global healthcare company empowering people worldwide to live healthier at every stage of life. We provide access to medicines, advance sustainable operations, develop innovative solutions and leverage our collective expertise to connect more people to more products and services through our one-of-a-kind Global Healthcare Gateway®. Formed in November 2020 , Viatris brings together scientific, manufacturing and distribution expertise with proven regulatory, medical, and commercial capabilities to deliver high-quality medicines to patients in more than 165 countries and territories. Viatris' portfolio comprises more than 1,400 approved molecules across a wide range of therapeutic areas, spanning both non-communicable and infectious diseases, including globally recognized brands, complex generic and branded medicines, and a variety of over-the-counter consumer products. With approximately 37,000 colleagues globally, Viatris is headquartered in the U.S., with global centers in Pittsburgh , Shanghai and Hyderabad, India . Learn more at viatris.com and investor.viatris.com , and connect with us on Twitter at @ViatrisInc , LinkedIn and YouTube .
SOURCE Viatris Inc.

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About Viatris Inc.

Ticker Symbol: VTRS
Exchange: NASDAQ
Mission: Empower people worldwide to live healthier at every stage of life
Patient Reach: ~1 billion patients annually
Global Centers: Pittsburgh, Shanghai, Hyderabad

Frequently Asked Questions

What recent court decision affected the company?

The court dismissed all pending claims against the company, acknowledging the lack of factual basis for the allegations.

How does the court view the EpiPen classification allegations?

The court found no evidence supporting the claim that the company misclassified EpiPen for Medicaid.

What did the court say about generic drug pricing claims?

The court concluded that plaintiffs' claims about generic drug price fixing did not demonstrate economic rationality.

How does Viatris respond to the court ruling?

Viatris remains committed to compliance and will continue to defend against unfounded claims.

What does Viatris focus on as a healthcare company?

Viatris aims to provide access to medicines and innovative solutions globally across various health sectors.

Last updated: Mar 31, 2023