Pfizer accused of market power abuse
The ACCC has alleged that prior to expiration of the company’s patent on the atorvastatin molecule in 2012, Pfizer offered significant discounts and the payment of rebates previously accrued on Lipitor sales.
According to the ACCC these discounts were conditional on pharmacies acquiring a minimum volume of up to 12 months’ supply of Pfizer’s generic atorvastatin product.
It is alleged that at the time of the offer, other companies seeking to enter the market with generic versions of the drug were prevented from making competing offers to supply pharmacies.
“The ACCC alleges that Pfizer engaged in this conduct for the purpose of deterring or preventing competitors in the market for atorvastatin from engaging in competitive conduct, as well as for the purpose of substantially lessening competition,” ACCC Chairman Rod Sims said in a statement.
“This case also raises an important public interest issue