City of Rockford’s fight against Mallinckrodt featured on 60 Minutes
The City of Rockford’s on-going fight against Mallinckrodt was featured on 60 Minutes this weekend. As part of the legal team for the Illinois city, Meyers & Flowers has worked tirelessly to expose a number of price gouging and antitrust violations relating to the sale of the drug, Acthar, during this news segment.
Meyers & Flowers was asked to serve on the plaintiff’s attorney team for Rockford due to the firm’s long history of fighting Big Pharma, and medical device corporations for tens of thousands of victims harmed or injured by deceptive practices as well as defective drugs or devices.
Last year Rockford filed suit against Mallinckrodt for anti-trust violations. According to the complaint, “by establishing and maintain a monopoly, exercising monopoly power, and engaging in other unlawful acts and practices, the Defendants were able to extract exorbitant revenue from consumers that had nowhere else to turn for treatment.”
Rockford manages its own health plan for its city, police and fire personnel. According to the former mayor, in 2015 Rockford paid close to $500,000 for just nine vials of Acthar to treat two children.
Acthar was initially developed decades ago to treat infantile spasms, a rare pediatric epilepsy condition. More than 17 years ago the drug was sold for just $40.00 per vial. In 2015, Mallinckrodt was selling Acthar for $35,000.00 per vial making it one of the most expensive drugs, per patient, paid for under the federal Medicare program.
Rockford claims that Mallinckrodt’s monopoly allows the multi-national pharmaceutical corporation to force self-insured payors, such as Rockford, to pay an outrageous price for the much-needed medication.