Attorney General Mayes announces multimillion-dollar settlements over inflated drug pricing schemes

Kris Mayes, Attorney General of Arizona
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Attorney General Kris Mayes announced that Arizona, along with 47 other states and territories, has reached settlements totaling $17.85 million with Lannett Company, Inc. and Bausch Health US, LLC and Bausch Health Americas, Inc. The settlements resolve allegations that the companies participated in conspiracies to inflate prices and restrict competition for various generic prescription drugs.

“Arizonans were unfairly ripped off by these companies and paid illegally-high prices for prescription drugs they relied on to stay healthy. I’m proud to get Arizonans hard-earned money back and hold these pharmaceutical companies accountable for conspiring to raise prices,” said Attorney General Mayes. “These types of cases, those that expose the dark underbelly of corporate greed, are the very reason I became Attorney General.”

On the same day, a new lawsuit was filed by 42 states and territories against Novartis and its subsidiaries Sandoz Group AG and Sandoz AG. The suit alleges a coordinated effort to fix prices, allocate markets, and rig bids involving 31 generic drugs. It also claims Novartis attempted to shield itself from liability by transferring assets from Sandoz, Inc., which is named in previous state antitrust complaints.

“We’re not going to stop going after these greedy corporations who are rigging the system against hardworking Arizonans,” said Attorney General Mayes. “There’s something particularly sinister about large pharmaceutical manufacturers rigging the system for medicine, which many times consumers have no choice but to continue to purchase. It’s gross.”

Lannett and Bausch have agreed as part of their settlements to cooperate with ongoing multistate litigation led by Connecticut against multiple corporate defendants and executives. Both companies will also implement internal reforms intended to promote fair competition and comply with antitrust laws. These agreements follow earlier settlements totaling $49.1 million with Apotex and Heritage as states prepare for an upcoming trial scheduled in Hartford, Connecticut later in 2026.

Consumers who purchased generic prescription drugs manufactured by Lannett or Bausch between May 2009 and December 2019 may be eligible for compensation.

Connecticut’s Attorney General Office leads a coalition pursuing three major antitrust cases initiated in 2016 involving numerous corporate defendants and individuals across the generic drug industry. Investigations supporting these cases rely on evidence such as documents, phone records, witness testimony, meeting notes, and communications among industry competitors that suggest widespread collusion.

The states involved in today’s settlements include Arizona as well as most U.S. states and territories.

The Arizona Attorney General’s Office serves as the state’s main legal authority offering advocacy, consumer complaint handling, civil rights support, protection services statewide—including addressing elder abuse—and participation in federal actions for accountability according to its official website. Kris Mayes is Arizona’s 27th attorney general and is noted as the first mother to serve in this role (source). The office is based in Phoenix (source).



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