Health Care & Reproductive Rights

Bipartisan coalition of attorneys general writes that federal action is needed to protect consumers and small businesses

OAKLAND — California Attorney General Rob Bonta today joined a bipartisan coalition of 39 attorneys general in urging the leaders of the U.S. House of Representatives and U.S. Senate to enact a law that prohibits Pharmacy Benefit Managers (PBMs), their parent companies, or affiliates from owning or operating pharmacies. Created in the late 1960s to process claims for drug companies, PBMs were supposed to help consumers access low-cost pharmaceutical care through negotiated volume-pricing discounts, generic substitution, manufacturer rebates, and other tools. However, the attorneys general write, PBMs have overtaken the market and now wield outsized power to reap massive profits at the expense of consumers and local community pharmacies. In particular, PBMs’ use of affiliated pharmacies — pharmacies owned by either the PBM itself or the PBM’s parent company — has exacerbated the problem of manipulated prices, the growth of pharmacy deserts, and the unavailability of certain prescription medications. 

“PBMs’ priority is not consumers, but rather their own bottom line. They must be reined in,” said Attorney General Bonta. “Drug prices have skyrocketed in recent years, and PBMs have exacerbated the problem. To protect consumers and small businesses, we need more competition — not less — in the marketplace. A federal law prohibiting PBMs, and their parent companies or affiliates, from owning or operating pharmacies is long overdue, and I’m proud to be part of a bipartisan coalition of attorneys general that is calling on Congressional leadership to make it a reality.”

In the letter, the attorneys general emphasize that:

• Over the past few decades, horizontal consolidation and vertical integration have transformed PBMs from useful administrative service providers into market-dominating behemoths that control the industry. Horizontal consolidation here is the merger of competing PBMs and vertical consolidation here is the acquisition of pharmacies by PBMs at the expense of competitors of those PBMs and pharmacies.
• The three largest PBMs — CVS Caremark, Optum Rx, and Express Scripts — process 80% of the nation’s prescriptions and bring in 70% of the specialty drug revenue. Furthermore, each of the top six PBMs operate their own affiliated pharmacies, while five of the top six are also a part of parent conglomerates that operate insurance companies and health care clinics.
• In addition to owning pharmacies, PBMs also contract with non-affiliated pharmacies, including independent pharmacies, to create pharmacy networks that control where their members can get their drugs and at what prices. This creates the situation where the PBMs — through ownership of affiliated pharmacies — are contracting with and have power over their own pharmacies’ competition. The PBMs then use their place as middlemen to exert this power in ways that harm independent pharmacies, forcing these small businesses to accept contractual terms that are “confusing, unfair, arbitrary, and harmful” and ultimately causing them to go out of business.
• Over the course of the last decade, approximately 10% of rural independent pharmacies in the United States have closed. The closure of independent pharmacies, and the community services they provide, is felt strongly by consumers — especially those in rural or otherwise underserved areas who are left with dwindling access to retail pharmacies that are ever farther away.

In sending today's letter, Attorney General Bonta joins the attorneys general of Alaska, American Samoa, Arkansas, Arizona, California, Delaware, the District of Columbia, Hawaii, Illinois, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Utah, Vermont, Virgin Islands, Virginia, Washington, West Virginia, Wisconsin, and Wyoming.

A copy of the letter can be found here.

OAKLAND — California Attorney General Rob Bonta today announced a multistate settlement in principle with pharmaceutical company Mylan Inc. (Mylan) that will deliver up to $335 million nationwide to help combat the opioid crisis. Mylan, which is now a part of Viatris, has manufactured and sold a variety of opioids since 2005, including generic fentanyl patches, oxycodone, hydrocodone, and buprenorphine products. The attorneys general allege Mylan deceptively promoted its products as less prone to abuse despite knowing for years that many of its opioid products — particularly its fentanyl patches — were actually more vulnerable to abuse. The company fueled the opioid crisis by marketing directly to doctors, leading to dangerous overprescribing and diversion of its opioids into the illegal drug market. 

“Companies and individuals who fueled the opioid crisis must be held accountable. With today’s announcement, the California Department of Justice is continuing to deliver results,” said Attorney General Bonta. “The opioid crisis does not distinguish between Democrats or Republicans – it has affected people from all walks of life. I’m proud to have worked on this with a bipartisan coalition of attorneys general.”   

Under the multistate settlement in principle, Mylan will pay up to $335 million to participating states over nine years.

This settlement in principle was negotiated by the attorneys general of California, Illinois, Massachusetts, New York, North Carolina, Oregon, Tennessee, Utah, and Virginia in coordination with the attorneys general of Colorado, Delaware, Georgia, Idaho, Iowa, and Vermont.

In 2024, NIH awarded $5.15 billion in grants and contracts that directly supported 55,324 jobs and $13.81 billion in economic activity in California

OAKLAND — California Attorney General Rob Bonta today co-led 16 attorneys general in filing a lawsuit against the Trump Administration, the Department of Health and Human Services, and the National Institutes of Health (NIH) for failing to disperse grant funds and for unlawfully terminating existing grants for medical and public health research institutions across the country. Despite Congressional direction, the NIH has drastically reduced its funding to advance the United States' understanding of human disease and potential treatments. As a result, California universities have begun curtailing biomedical research and delaying the hiring of new staff and students who depend on NIH funding.

“In their unlawful withholding and terminating of medical and public health research grants, the Trump Administration is upending not only the critical work being done today, but the promise of progress for future generations,” said Attorney General Rob Bonta. “Through research, we save lives, improve public wellbeing and create new economic opportunities that support a vibrant economy. Let me be clear: in California, NIH funding creates over 50,000 jobs and billions of dollars in economic activity. Over the decades, this funding has brought humanity the eradication of polio, discovery of the gene that causes breast and ovarian cancer, and the transformation of HIV from a fatal disease into one people can live with. Gutting NIH funding is a deep loss to innovation and progress built upon for decades — and it’s illegal. My office is proudly leading the charge to demand that the Trump Administration immediately restore funding to the important work being done in labs, schools, and hospitals across the nation.”

"The American research enterprise is the most successful, important, and impactful in the world,” said UC President Michael V. Drake, M.D. “We must continue to do all we can to develop treatments and cures for the serious medical conditions that threaten us all."

“We applaud the attorney general for filing this lawsuit. NIH funding is vital to the CSU’s ability to offer immersive student learning and discovery through distinctive research programs that directly benefit the health of all Americans,” said Ganesh Raman, Assistant Vice Chancellor for Research at the California State University. “These grants not only support research, but they also provide stipend and other funding that impact hundreds of CSU students, staff and faculty who engage in meaningful, and career-defining work. Terminating these federal grants will cause irreparable harm, undermine scientific progress and our collective capacity to innovate and lead California’s economy.”

NIH is the federal agency responsible for biomedical and public health research. Over 80% of Congressional funding supports NIH research and training at external labs, schools, and hospitals. It is estimated that every $1 invested in NIH research generates $2.56 of economic activity.

Over the years, NIH-supported research has had a profound impact on the health and wellbeing of the American people. NIH scientists pioneered the rubella vaccine, eradicating a disease that, in the 1960s, killed thousands of babies and left thousands more with lifelong disabilities. NIH studies led to the discovery of the BRCA mutation, helping countless Americans reduce their risk of breast and ovarian cancer. NIH research fueled the development of treatments for HIV and AIDS, transforming what used to be a fatal disease into one with a nearly normal life expectancy.   

The termination of NIH funding for research interventions to prevent or treat the spread of diseases like HIV/AIDS, Covid and other virus families of pandemic concern — including emerging diseases such as Dengue, Chikungunya, and Zika — increases the risk of and incidence of these diseases in California. The terminations have specifically targeted some of the most vulnerable Californians, including women experiencing domestic violence, children at risk of suicide, and underserved communities at a higher risk of chronic or infectious diseases.

Yet the Trump Administration has frozen the highly competitive process for approving new NIH grants. The Administration has also terminated existing NIH grants without any reasonable explanations after those grants were funded based on their scientific merit and potential innovative impact and appears to have terminated grants based on the projects' perceived connection to "DEI,” "transgender issues,” "vaccine hesitancy," or other topics disfavored by the Trump Administration. Similarly, training grants directed to increase diversity in the research work force have been pulled from review. NIH claims that these grants “no longer effectuate agency priorities.” 

In today’s lawsuit, the attorneys general argue that the Trump Administration’s actions are arbitrary and capricious. The Trump Administration does not have the authority to unilaterally decline spending congressionally appropriated funds. As such, the attorneys general seek a temporary restraining order to immediately restore grant funding to the states and bar the Administration from unlawfully terminating grants.

In February, Attorney General Bonta filed a lawsuit against the Trump Administration’s unlawful attempt to cut “indirect cost” reimbursements at every research institution throughout the country. Indirect cost reimbursements refer to expenses that are necessary to support research but are not easily linked to a specific research project. 

In bringing today’s lawsuit Attorney General Bonta and the attorneys general of Massachusetts, Maryland, and Washington lead the attorneys general of Arizona, Colorado, Delaware, Hawaii, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, Rhode Island, and Wisconsin. 

A copy of the complaint can be found here. A copy of the proposed temporary restraining order can be found here. 

SAN FRANCISCO — California Attorney General Rob Bonta today delivered remarks on California Department of Justice’s preparations to protect California’s values, people, and natural resources ahead of a second Trump Administration. To view a recording of the press conference, please visit here. 

Attorney General Bonta's Remarks as Prepared for Delivery:

As the reality of a second Trump Administration takes hold, I know there is a great deal of fear, sadness, anxiety, and panic. 

I understand. 

I’m here today to reassure you that in California, progress will prevail. 

No matter who is in the White House, no matter who holds control of Congress, in California we will keep moving forward. 

In California, we will choose calm over chaos. 

Fact over fiction.

Belonging over blame.

Unity over division. 

“Us and we” over “I and me.” 

It’s why we’re the 5th largest economy in the world. Not in spite of our commitment to workers, consumers, and the environment, because of it. 

Because we’re the largest and most diverse state in the nation.

Because we believe in the power of inclusivity.

Because we believe in truth over lies. Hope over hate. Light over dark.

Because  we believe in looking forward.

It’s who we are in the Golden State. It’s in our DNA. Nothing and no one can change that. 

As Attorney General, I’ll continue to use the full force of the law and authority of this office to address injustice. 

To stand up for all people, especially those who have long been overlooked and undervalued.

To safeguard reproductive rights. 

And advocate for more housing — especially more affordable housing for lower and middle-income families just trying to get by.

I’ll continue to take on greedy corporate giants and fight for more affordable gas, groceries, and everything in between.  

I’ll continue to defend our world-renowned natural resources and protect them for generations to come. 

Continue to fight for clean water to drink and clean air to breathe.

Continue to crack down on illicit guns on our streets and get fentanyl out of our neighborhoods. 

Continue to fight for workers.

I’ll continue to protect, defend, and serve every single Californian. No matter your politics. 

I’m here to ensure every person — no matter how they look, how much money they make, where they’re from, who they love, how they identify, or how they pray — can pursue their version of the California Dream. 

A fair wage and good benefits.  

A safe and affordable place to live.  

Affordable and accessible health care. 

Good schools to send our kids to. 

Safe neighborhoods to raise our families. 

That’s my promise to you, no matter who is in the White House.  

We’ve been here before.

We lived through Trump 1.0. 

We know what he’s capable of. 

We know what plans he has in store. 

The silver lining is just that: we know. 

We know to take Trump at his word when he says he’ll roll back environmental protections, go after our immigrant and LGBTQ+ communities, attack our civil rights, and restrict access to essential reproductive care.

Which means, we won’t be flat-footed come January.

You can be sure that as California Attorney General, if Trump attacks your rights: I’ll be there. 

If Trump comes after your freedoms: I’ll be there. 

If Trump jeopardizes your safety and well-being: I’ll be there.

California DOJ did it before and we’ll do it again.  

During the last Trump Administration, California DOJ fought to stop illegal rollbacks and proposals that would’ve harmed the well-being, health, safety, and civil rights of our people and of people across the country. 

That would have caused irrevocable damage to our environment.

No matter who is in charge of the federal government…

No matter what the incoming Administration has in store… California will remain the steadfast beacon of progress it has long been.  

A constant, unwavering, immoveable force to be reckoned with.  

We’ll continue to be a check on overreach and push back on abuse of power. 

Be the antidote to dangerous, extremist, hateful vitriol.

Be the blueprint of progress for the nation to look to.

Remember: in moments of chaos in D.C., you can always look to California for calm resolve. 

California leaders across the state are ready to stand arm-in-arm. 

Governor Newsom and every single Constitutional Officer;  

Senator Padilla and Senator-elect Schiff;  

Democratic members of Congress; 

Pro Tem McGuire, Speaker Rivas, and the California Legislature; 

Mayors, supervisors, and city councilmembers from San Francisco to San Diego are ready to fight for our California values. 

For our people. For our environment.

For progress and justice.

And as necessary, we’re ready to take on the challenges of a second Trump Administration — together.

While a great deal of change is on the horizon…

California’s path to progress remains full steam ahead.

It may not always be linear. Progress so rarely is. 

It zigs and zags. Takes frustrating detours. Inches forward and backward and forward again. 

The detours and setbacks don’t define our progress.

Our commitment to forward momentum defines our progress. Defines us. 

It’s what we do next that will define us. 

If you’re feeling despondent today, remember that you’re not alone. 

In California, we’re not looking back. We’re not moving back. 

We’re California! We’ll meet any challenges head on and rise to the occasion.

As is so often said, as California goes, so goes the nation.

In the days and months and years to come, all eyes will look west. 

In California, they’ll see: we’re still moving forward.

Thank you. 

Consumers’ financial future should not be ruined for seeking lifesaving care

OAKLAND — California Attorney General Rob Bonta today sent a letter to the Consumer Financial Protection Bureau (CFPB) in support of the Bureau’s Proposed Rule which would prohibit the reporting of medical debt on credit reports. The proposed rule is expected to provide desperately needed relief for millions of Americans burdened by unexpected or inaccurate medical bills. Earlier this year, Attorney General Bonta, Senator Monique Limón (D- Santa Barbara), and a coalition of prominent consumer advocacy organizations unveiled SB 1061, legislation seeking to protect consumers from having their credit ruined by prohibiting medical debt from being reported on credit reports.

“When someone is scared and in pain, the last thing they should think about is whether seeking care will take away their ability to buy a house or land a job. Unfortunately, this is the reality for many people today,” said Attorney General Bonta. “There is no need for medical debt to appear on credit reports as it is not a good predictor of repayment, and it pushes more and more people into a harmful debt cycle that is very difficult to escape. I thank the Consumer Financial Protection Bureau for their nationwide leadership on this issue and for proposing a rule that sets a floor for consumer protections and allows states to enact stronger protections for their residents.”

Credit reports are meant to gauge an individual’s ability to repay future debt. Medical debt is often unforeseen and not a reliable indicator of financial risk, yet it can unfairly prevent consumers from getting loans, renting an apartment, or getting a job. Millions of Californians are saddled with medical debt as a result of our broken healthcare system. Fifty-two percent of adults reported that in the last 12 months, they or a family member had delayed or postponed care due to cost, 36% had medical debt, and 27% had problems paying or could not pay their medical bills.

In the letter, Attorney General Bonta notes that medical debt impacts consumers regardless of payment method and proposes the definition of medical debt be expanded to include all forms of payments made to health care providers. For instance, individuals might not directly owe money to medical or dental care providers; they might have settled their bills by incurring different types of debt, such as paying their provider with a credit card. These forms of debt should also be included in the coverage of the rule. For example, many Californians who cannot pay for health care turn to credit cards they are unable to pay down. The share of consumers who put medical or dental bills on a credit card is growing, now accounting for 25% of Californians, up from 19% just one year ago. This number is even higher for historically marginalized groups.

The letter also addresses CFPB’s concerns about the feasibility of identifying medical debt owed to third-party lenders, such as credit cards, by explaining that these lenders already have systems in place to categorize types of debt, which could be used to identify medical debt.

Attorney General Bonta is committed to protecting the financial health of Californians, especially vulnerable populations. In April, Attorney General Bonta submitted a comment letter supporting the Consumer Financial Protection Bureau’s proposed overdraft fee rule which would close a regulatory loophole that enables banks to extract billions of dollars from consumers by charging overdraft fees without adequately disclosing basic credit terms. In February, Attorney General Bonta issued letters to small banks and credit unions warning that overdraft and returned deposited item fees may violate California’s Unfair Competition Law and the federal Consumer Financial Protection Act. California consumers paid an estimated $200 million in overdraft fees in 2022, with the financial burden disproportionately falling on low-income consumers and consumers of color.

A copy of the letter can be found here.

OAKLAND — California Attorney General Rob Bonta today released the following statement after the U.S. Supreme Court struck down confirmation of Purdue Pharma L.P.’s (Purdue) bankruptcy plan in Harrington v. Purdue Pharma, finding that nonconsensual third-party releases are not authorized under the Bankruptcy Code. Purdue’s bankruptcy plan provided the Sackler family, which owned Purdue, immunity in exchange for paying up to $6 billion for claims related to the company’s misleading marketing of its powerful pain medication OxyContin and their role in creating the opioid crisis. Today’s decision reverses a ruling by the U.S. Court of Appeals for the Second Circuit that had afforded the Sacklers broad protection from liability that far exceeded what they would have obtained had they gone through bankruptcy themselves.

 “For years, the Sackler family prioritized their own interests and profits over people, fueling the opioid epidemic that ravaged our communities and led to the loss of countless lives across our country,” said Attorney General Bonta. “No amount of money will ever undo the devastation that the Sacklers and Purdue Pharma have caused in perpetuating this crisis, but today’s decision will allow those that have suffered at the hands of the Sacklers to hold them accountable for their greed and willful misconduct. There is still much work to be done to fight the opioid epidemic, and the California Department of Justice remains committed to building on our efforts to heal our communities and respond to this epidemic from all angles, from providing resources for prevention and treatment to holding those responsible for this crisis accountable.”

Attorney General Bonta is unwavering in his commitment to protect California communities and fight the opioid crisis. In September, Attorney General Bonta filed a letter with the U.S. Supreme Court in this case again expressing his view that nonconsensual third party releases, such as those here, were unlawful. In addition, the California Department of Justice has secured over $48 billion through nationwide settlements, including up to $4.25 billion for California, bringing needed funding back to communities for treatment and prevention strategies.

OAKLAND — California Attorney General Rob Bonta today released the following statement after the U.S. Supreme Court ruled in Idaho v. U.S.  that it would not decide whether the Emergency Medical Treatment and Labor Act (EMTALA), a federal law, requires hospitals to provide necessary abortion care to pregnant people experiencing medical emergencies irrespective of any conflicting State law. Every hospital in the United States that operates an emergency department and participates in Medicare is subject to EMTALA. Under the law, emergency departments are required to provide all patients who have an emergency medical condition with the treatment required to stabilize their condition. Yet Idaho’s radical abortion ban, which came into effect after the U.S. Supreme Court’s June 2022 decision overturning Roe v. Wade, criminalized the very abortion care required by EMTALA. Idaho’s law allows only those abortions necessary to prevent a pregnant patient’s death, and so subjects healthcare providers who provide the broader swath of medically necessary emergency abortion care required by EMTALA to criminal prosecution and loss of their license. Instead of deciding whether Idaho’s law impermissibly prohibits emergency abortion care required by EMTALA, the Supreme Court will allow the U.S. Court of Appeals for the Ninth Circuit to decide the issue in the first instance. The Supreme Court also decided today that it will allow a preliminary injunction entered by the district court in Idaho to go into effect. For now, that preliminary injunction prevents Idaho from enforcing its ban with respect to emergency abortion care covered by EMTALA.  

“Today’s ruling ensures that, at least for now, pregnant patients facing medical emergencies in Idaho cannot be denied health-preserving abortion care,” said Attorney General Bonta. “But today’s decision is at best a temporary reprieve for pregnant patients and physicians in Idaho and any other State with a ban on abortion care. The battle to protect access to reproductive healthcare remains as this case and others continue, and as anti-abortion extremists work to undermine Americans’ most basic and fundamental reproductive rights. Our message to all who seek or provide reproductive healthcare is clear: California welcomes and supports you. We will continue to fight for every individual’s right to make their own healthcare decisions and reaffirm our commitment to making our state a beacon of reproductive freedom to every individual across this country.” 

The Attorney General remains committed to supporting, expanding, and protecting reproductive freedom. In April, the Attorney General issued guidance to remind medical providers, staff, and volunteers from states with near-total abortion bans of their rights and protections when providing reproductive healthcare under California state law. For more information on your reproductive rights in California, please click here. To report potential violations of EMTALA, please click here.

OAKLAND — California Attorney General Rob Bonta today, as part of a bipartisan coalition of 42 state attorneys general, announced a $700 million multistate settlement with Johnson & Johnson (J&J) resolving claims that the company violated consumer protection laws by misrepresenting the safety of its talc-based products. Specifically, J&J failed to disclose if asbestos was present in its talc products and that any asbestos present in the products is harmful and may lead to cancer. The proposed settlement, subject to court approval, bars J&J from resuming the manufacture, marketing, promotion, sale, and distribution of talc-based products. J&J stopped selling these products in the United States and Canada in 2020.

“Johnson & Johnson knew that it could not ensure the safety of its products for women and children and chose to prioritize profit over honesty. It's unacceptable, and for the people who were harmed, it's devastating,” said Attorney General Bonta. “Today and every day, I take pride in serving the people of California and holding those who compromise consumer safety accountable.”

Since 1992, J&J sold over 600 million talc products nationwide, marketed primarily as baby powder for infants and genital hygiene products for women. Talc products were marketed as safe and pure despite J&J knowing that it could not ensure the talc used in its powders was free of asbestos.

Long-standing studies have suggested a possible association between the use of powders containing talc in the genital area and the incidence of ovarian cancer. Both talc and asbestos are naturally occurring minerals that may be found in close proximity in the earth. The contamination of talc with asbestos is possible and at times, difficult to determine. Asbestos — a carcinogen that kills more than 12,000 people in the U.S. per year — is linked to diseases that are life threatening, or cause substantial pain and suffering, including mesothelioma, fibrosis, lung cancer, gastrointestinal cancer, as well as other lung disorders and diseases. There is no safe level of exposure to this highly toxic material.

In securing today’s settlement, Attorney General Bonta joins the attorneys general of Texas, Florida, North Carolina, Alabama, Alaska, Arizona, Arkansas, Colorado, Connecticut, Delaware, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New York, North Dakota, Ohio, Oklahoma, Oregon, Rhode Island, South Dakota, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, and the District of Columbia. 

Attorney General Bonta is committed to investigating and remedying harm to consumers affected by unlawful and deceptive business practices. In May, Attorney General Bonta announced a $10.25 million settlement with major U.S. wireless carriers resolving allegations that the carriers violated consumer protection laws by engaging in deceptive and misleading advertising. Also in May, Attorney General Bonta announced a settlement with Liberty Tax for running deceptive advertisements that misled consumers into thinking they were getting a free advance on their tax refund when they were actually taking out a high-cost loan.

A copy of the proposed stipulated judgment, subject to court approval, can be found here. 

 OAKLAND — California Attorney General Rob Bonta today joined a broad, bipartisan coalition of 39 attorneys general in submitting letters to U.S. House and Senate leaders urging them to fund the Legal Services Corporation (LSC) in full. LSC is funded by federal appropriation and is a critical compliment to state and other funding for legal aid. LSC provides civil legal services to low-income Americans across the United States.

“As the People’s Attorney, I share a commitment to the equal access of our justice system and understand the barriers that low-income families can face when trying to access legal services,” said Attorney General Bonta. “The Legal Services Corporation provides on-the-ground legal assistance to Americans experiencing seemingly insurmountable obstacles, including our country’s Native American communities, individuals with disabilities, domestic violence survivors, survivors of natural disasters, and undocumented folks. I sincerely urge Congress to support our neighbors and prioritize investment in The Legal Services Corporation.”

Since its establishment by Congress 50 years ago, LSC has provided civil legal services to low-income Americans across the United States who otherwise would not have access to such services. LSC is funded by federal appropriation and the amount of the investment will determine the number of Americans in need that LSC will be able to assist. Each year, LSC provides grants to local nonprofits who together provide legal services to low-income individuals throughout the United States from approximately 900 offices nationwide, stretching from urban centers to small towns. However, despite 94% of federal dollars going directly toward eligible nonprofits delivering civil legal aid, the need for legal assistance is outpacing LSC's funding.

In submitting the letters, Attorney General Bonta joins the attorneys general of the District of Columbia, Georgia, Oklahoma, Massachusetts, Alaska, Arizona, Colorado, Connecticut, Delaware, Florida, Hawaii, Illinois, Iowa, Kentucky, Maine, Maryland, Michigan, Minnesota, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Vermont, Washington, Wisconsin, Wyoming, and American Samoa, Northern Mariana Islands, Puerto Rico, and the U.S. Virgin Islands.

A copy of the letters can be found here, and here. 

LOS ANGELES -- Attorney General Kamala D. Harris today announced that California, along with 34 other states and the District of Columbia, has filed a lawsuit against Indivior, a British pharmaceutical company, and MonoSolRX, an Indiana pharmaceutical film technology company, for antitrust violations.

The complaint, filed today in U.S. District Court for the Eastern District of Pennsylvania, alleges that Indivior and MonoSol RX engaged in a multi-pronged “product-hopping” scheme to block competition to Suboxone, an opioid addiction treatment, ultimately generating almost one billion dollars in undeserved profits.  In this kind of scheme, pharmaceutical companies try to maintain profits generated via a monopoly by slightly reformulating their product in a way that blocks generic competitors without offering any significant medical or therapeutic advantages to patients.

"When prescription drug companies unlawfully manipulate the marketplace to maximize profits, they put lives at risk and drive up the cost of healthcare for everyone.  Indivior and MonosolRX flagrantly violated the law, deceiving doctors and patients and shutting down generic competition in order to rake in profits," said Attorney General Harris. "These companies must be held accountable for this unlawful scheme that cost the public nearly a billion dollars and hampered fair competition in the marketplace." 

Indivior, then known as Reckitt Benckiser, was granted FDA approval in 2002 for Suboxone tablets, along with exclusive rights to sell the drug for seven years based on representations that it was unlikely to recover its investment in the drug.  During this time, Indivior generated over a billion dollars in sales of the Suboxone tablets.

When its exclusive rights expired in 2009, the company was faced with potential competition expected to eliminate 80% of its profits from Suboxone tablets within a year. Indivior, with MonoSolRX’s assistance, thwarted that competition by switching the form of Suboxone from tablet to film. It falsely claimed the tablets presented pediatric safety issues, made unfounded claims to physicians that tablets were dangerous, and raised the price of its tablet while lowering the price of the film. Through these actions, Individior was able to maintain artificially high prices for Suboxone, depriving the state and consumers of the benefits of lower prices that come with competition.

The complaint alleges that the conduct and agreement between Indivior and MonosolRX constitutes monopolization, conspiracy to monopolize, and illegal restraint of trade in violation of federal antitrust laws as well as of California's Cartwright Act and Unfair Competition Law. The complaint seeks to require Indivior to pay back any profits that resulted from the illegal conduct—disgorgement—and includes injunctive relief to ensure the conduct is not continued or repeated. 

Attorney General Harris has worked to curb the sweeping epidemic of opioid abuse, overseeing a state-of-the-art prescription drug monitoring program, CURES, that allows health providers and pharmacists to more effectively flag at-risk patients and curb prescription drug abuse.  Attorney General Harris and 37 other state attorneys general also sent a letter to Congress in support of the Comprehensive Addiction and Recovery Act of 2015 (S.524/H.R.953), to increase prevention and treatment of heroin and opioid abuse.

Attorney General Kamala D. Harris has taken significant steps to protect consumers from monopolies and other violations of antitrust law, most recently joining with the United States, the District of Columbia, and 11 other states to file a lawsuit to block the merger of Anthem and Cigna, two major insurance companies operating in California.  The merger, if allowed to proceed, would drive up costs and undercut the quality of care available to Californians across the state.

She has also been a leader in challenging reverse payment agreements by which a branded drug company pays its rivals to not compete, which allows it to wrongfully inflate drug prices. Along with the FTC, the State of California filed the action that resulted in the U.S. Supreme Court decision in FTC v. Actavis finding that such agreements could be anticompetitive. Attorney General Harris has also authored numerous amicus briefs attacking this practice, which costs consumers billions of dollars and increases drug prices.

In addition, Attorney General Kamala Harris has worked to protect Californians’ access to high-quality, affordable health care, including reproductive health care and has defended the constitutionality of the Affordable Care Act, joining a friend-of-the-court brief in Thomas More Law Center v. Obama and repeatedly speaking out in support of health care reform.

The Attorney General’s office also reviews all transactions involving non-profit hospitals in California, such as the recent transaction involving Providence and St. Joseph’s Hospital and last year’s change of control and governance for Daughters of Charity Health System.  Attorney General Harris has set clear conditions when approving mergers and other transactions to ensure that those served by the hospitals—predominantly vulnerable and low-income communities—continue to have access to high-quality health care.