Appeals Court Nixes Sandoz Generic Aubagio Suit

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The DC Circuit Court of Appeals says Sandoz is not entitled to a solo period of marketing exclusivity for its generic version of Sanofi’s Aubagio (teriflunomide). Sandoz challenged the new chemical entity exclusivity granted to Aubagio, claiming that teriflunomide was previously “approved” as an impurity in the arthritis drug Arava (leflunomide) or, alternatively, was approved as an active ingredient in Arava. The DC federal district court had granted summary judgment to FDA, agreeing with the agency that Aubagio was entitled to exclusivity because teriflunomide had never previously been approved.

In its decision, the appeals court said that when FDA approves a new drug, it does not also “approve” known impurities in that drug for the purpose of new chemical entity exclusivity. “And the record is clear,” the decision says, “that FDA did not approve teriflunomide as an active ingredient when it approved Arava. Aubagio was therefore entitled to new chemical entity exclusivity, and Sandoz cannot benefit from a solo exclusivity period for its generic equivalent.”

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