Mylan hit with class action for EpiPen price gouging

Posted on: September 7th, 2016 by Steve Larson
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Consumer ProtectionAn Ohio woman on Tuesday filed a proposed class action lawsuit against Mylan Pharmaceuticals Inc. in Ohio state court, claiming sharp price hikes for the company’s EpiPen device violated the state’s consumer protection law.  According to the lawsuit, Mylan has raised the U.S. price of EpiPen, which is used to treat life-threatening allergies, from less than $100 when it acquired the product in 2007 to more than $600, drawing criticism from parents, consumer groups and U.S. politicians.

EpiPens automatically inject a dose of the drug epinephrine into the thigh to counter dangerous reactions to allergens such as peanuts, foods and bee stings. Mylan has a 94 percent share of the market for such auto-injector devices.

The lawsuit was filed by Cincinnati resident Linda Bates, whose son requires an EpiPen.  The complaint says the price increases violated the Ohio Consumer Sales Practices Act, which prohibits “unconscionable” acts in connection with consumer transactions, including taking advantage of a consumer’s “physical infirmities.”  Bates is seeking to represent a class of individuals in Ohio who purchased EpiPens from 2007 the present.