More than 6,000 people to be compensated for having to pay higher cost for the narcolepsy, sleep disorder, shift management drug
Eligible Californians can still submit late claims by the January 9 deadline
OAKLAND — California Attorney General Rob Bonta today announced the first wave of checks being sent out to more than 6,000 consumers of Provigil, Nuvigil, and Modafinil (generic Provigil) — widely prescribed for the treatment of certain sleep disorders and narcolepsy and for work shift management. The checks are from a $69-million settlement payout by pharmaceutical company Teva — secured by the California Department of Justice (DOJ) — to resolve allegations that a Teva subsidiary forced consumers to pay a higher cost by illegally maintaining its monopoly over Provigil sales between 2006 and 2012. California residents who were hurt by Teva’s allegedly anticompetitive practices during that period, and who filed claims that were verified, will receive the checks in coming weeks.
If you purchased Provigil, Nuvigil, or Modafinil during the alleged misconduct, or if you were contacted by the Court-Appointed Settlement Administrator for verification and were unable to respond, you still have time to file a late claim before January 9, 2023. This release contains additional information regarding eligibility requirements and how to file a late claim.
“No one should have to scrimp and save to be able to afford basic medication,” said Attorney General Bonta. “Anticompetitive pay-for-delay agreements are illegal. We will not tolerate greedy drug companies trying to cheat the system to line their pockets, while keeping Californians from accessing the prescription medications they need to stay healthy. Ensuring access to equal and affordable healthcare, including critical prescription medication, is a top priority at the California Department of Justice. I encourage all eligible Californians to file a late claim before January 9, 2023."
In July 2019, DOJ filed a lawsuit against Teva, alleging it entered into a collusive ‘pay-for-delay agreement’ that illegally delayed a generic and more affordable version of Provigil from entering the market for almost six years. Pay-for-delay agreements are costly to consumers and the healthcare market, keeping prices for necessary medication artificially high and forcing people to pay as much as 90% more for drugs shielded from competition.
As part of the $69-million settlement agreement to resolve that lawsuit, a $25,250,000 consumer fund was created for California residents who purchased Provigil, Nuvigil or Modafinil during this time period. On October 11, 2022, the court allowed California to use that fund to send direct cash payments to 6,169 eligible residents or former residents who had filed a claim and whose claims had been verified. Each claimant’s share was calculated based on the court-approved rate of $32.01 per prescription. More details and updates on the distribution of the checks can be found here.
The court also permitted late claims to be filed. The deadline to file a late claim is January 9, 2023.
You are eligible to make a late claim if:
You are eligible even if your purchase was reimbursed fully or partially by insurance.
If you believe you are eligible, click here to download a copy of the official Claim Form for Late Submission.
Late Claim Forms may be submitted online here, or mailed to the following address:
c/o A.B. Data, Ltd.
P.O. Box 170300
Milwaukee, WI 53217
More information on the settlement and copies of court documents related to the case can be found here.