Bill Would Prevent ANDA Blocking on 1st Generics

Share

Senators Tina Smith (D-MN) and Mike Braun (R-IN) have reintroduced bipartisan legislation that would prevent pharmaceutical company actions to block generic drug competition through a practice called “parking.” The senators say that parking occurs when a brand company agrees not to sue the first company that submits an application to market a related generic (first filer) and enters into an agreement where this first filer agrees to delay bringing its generic drug to market. “No other company can bring a generic version of a brand name drug to market until 180 days after the first filer has done so,” they say, adding that such anti-competitive agreements allow fewer lower-cost generic products to come to market.

The lawmakers’ Expanding Access to Low-Cost Generics Act would attempt to solve the parking problem by:

  • Allowing generic companies that are not first filers the ability to receive 180-day market exclusivity if the first filer does not come to market after a specified time-frame.
  • Changing the incentive structure for generic companies so that first filers rush to come to market rather than “park” their products.
  • Stopping the bottleneck of generic products waiting to come to market.

A summary of the bill can be read here.

Read more