State of New Jersey Attorney General Announces Multi-State Settlement with AstraZeneca Over Allegedly Deceptive Marking Practices
TRENTON
– Attorney General Paula T. Dow announced today that New Jersey has
entered into a $68.5 million, multi-state settlement agreement with
pharmaceutical manufacturer AstraZeneca that resolves allegations the
company deceptively marketed its anti-psychotic drug Seroquel.
Under
the settlement agreement, New Jersey will receive approximately
$1.85 million. Thirty-six states and the District of Columbia also
are party to the settlement, described as the largest-ever
multi-state, consumer-protection-based pharmaceutical settlement.
A
Verified Complaint, filed in New Jersey Superior Court today along
with a Final Consent Judgment memorializing the settlement, charges
that AstraZeneca engaged in unfair and misleading practices when it
marketed Seroquel for unapproved or off-label uses. The Complaint
also alleges that AstraZeneca failed to adequately disclose the
potential side effects of Seroquel to health care providers, and
withheld negative information contained in scientific studies
regarding the safety and efficacy of Seroquel.
“This is an
important settlement for all New Jersey residents,” said Attorney
General Dow. “This case sends a message that we take seriously the
duty pharmaceutical companies have to supply clear, accurate and
complete information about their products to health care providers,
and to market their products without deception or misleading
claims.”
“Consumers rightfully expect pharmaceutical
companies to engage in responsible marketing efforts that are
consistent with approved purposes,” said Thomas R. Calcagni, Acting
Director of the Division of Consumer Affairs.
“The importance cannot be overstated, when the health and safety of New Jersey residents are at stake,” Calcagni said.
Following a three-year investigation by the participating states,
the Delaware-based AstraZeneca agreed not to promote Seroquel in a
false, misleading or deceptive manner, including for “off-label” uses,
which are not approved by the U.S. Food and Drug Administration. In
addition to the overall $68.5 million payment, terms of the
settlement include provisions that address specific concerns
identified in the states’ investigation. The agreement specifically
requires AstraZeneca to:
- Publicly post its payments to physicians on a Web site
-
Have policies in place to ensure that financial incentives are not
given to marketing and sales personnel for off-label marketing
-
Have policies in place to ensure that AstraZeneca sales personnel
do not promote to health care providers who are unlikely to
prescribe Seroquel for an FDA-approved use
- Cite to
Seroquel’s FDA-approved indications when referencing selected
symptoms, rather than promoting Seroquel by highlighting symptoms only
Although a physician is allowed to prescribe
drugs for off-label uses, the law prohibits pharmaceutical
manufacturers from marketing their products for off-label uses.
AstraZeneca allegedly marketed Seroquel for a number of off-label
uses, including for use in pediatric and geriatric populations,
specifically in nursing homes for Alzheimer’s Disease and dementia,
as well as for anxiety, depression, sleep disorders, and post
traumatic stress disorder. AstraZeneca promoted Seroquel for such
uses even though Seroquel was not, at the time it was marketed,
approved for treatment of these conditions, and AstraZeneca had not
established that Seroquel was safe and effective for these uses.
Atypical anti-psychotics, including Seroquel, can produce dangerous
side effects including weight gain, hyperglycemia, diabetes,
cardiovascular complications and increased risk of mortality in
elderly patients with dementia.
In addition to New Jersey,
the following states and the District of Columbia participated in
the settlement: Florida, Illinois, Arizona, California, Colorado,
Connecticut, Delaware, Hawaii, Idaho, Iowa, Kansas, Louisiana,
Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri,
Nebraska, Nevada, New Hampshire, New York, North Carolina, North
Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South
Dakota, Tennessee, Texas, Vermont, Washington, West Virginia and
Wisconsin.
Money paid to New Jersey as a result of the
AstraZeneca settlement will be used for consumer protection
initiatives. Deputy Attorney General Gina M. Betts, assigned to the
Division of Law’s Consumer Fraud Prosecution Section, handled the
matter on behalf of the State.
via
nj.gov
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