Hospital Says Astellas Is A Monopolistic Bully
6 CommentsBy Ed Silverman // September 17th, 2010 // 9:57 am
A Florida hospital has filed a lawsuit against Astellas Pharma over Adenoscan, a med given to people who unable to run on a treadmill during cardiac stress tests, because the drugmaker argues hospitals would violate a method-of-use patent if they fail to sign licensing agreements and purchase its brand-name injectable instead of lower-cost generics.
According to the lawsuit, Astellas associate general counsel Catherine Leavitt sent threatening letters to Lakeland Regional Medical Center saying that “Astellas is the only party that can authorize the patented use of adenosine infusion for MPI studies. Such permission is only granted when Adenoscan is purchased from Astellas.” MPI, or myocardial perfusion imaging, is a test used to determine cardiac artery disease.
And so, Lakeland charges Astellas is coercing hospitals to use its more expensive med, which costs $8.05 per milliliter compared with about $1.76 per milliliter - a 450 percent difference, according to the lawsuit, which seeks class-action status. In short, the hospital claims Astellas is not only violating anti-trust laws, but also adding precipitously to health care costs. There are generics available from several companies including Teva Pharmaceuticals.
By forcing hospitals to purchase from Astellas, the lawsuit says the drugmaker is costing Lakeland hundreds of thousands of dollars each year, and also forcing Medicare reimbursements to skyrocket. Lakeland notes that Astellas supplies more than 90 percent of the adenosine used nationwide in cardiac stress tests, generating more than $100 million in annual revenues from the drug.
pharmavet®
The real question is why are the Astellas reps allowed in the labs? Astellas has the right to sell any product just as the hospital has the right to buy Teva or Orchids generic, but no pharma company has the right for their do-nut eating rep to accompany cardiologists during the stress test. Fire all reps now!
JaT
Do they ever use a UBE to get the targeted cardio effect in people who cannot run? If not, why?
Assuming the inability to run has to do with leg, hip, or lower back problems.
I’ve been tortured with that piece of equipment and though my heart would explode.
Mike Wokasch
I’m not a patent attorney but if Astellas has a patent on the use of Adenoscan for this purpose why should they not be allowed “the right to exclude others from making, using, offering for sale, or selling the invention?”
http://www.PharmaReform.com
Roscoe Hearn
It may be costing the patient more, it may be costing insurance companies or the government more, but the hospital is for damn sure making a profit off of it. These are the people who charge $10.00 for a couple of Tylenol that they bought for a nickel.
Paul
I agree with Mike. If inventions and patents are to be ignored at will then we will stop having inventions.
If Microsoft can protect Windows by insisting it can only be bought from them (albeit via intermediaries) then why can’t Astellas?
Or maybe I will start a Pharmalot blog…
Ziggy
Unlike a Microsoft case, Astellas has no patent to enforce here. Generally, the only reason a generic drug can lawfully exist is because the patent protection on the brand name drug has expired. Because Astellas’ patent protection on Adenoscan is gone and profits are decreasing, the company is now making the desperate and crazy assertion that it has exclusivity on the method in which the medication is used. It would be akin to Bayer aspirin insisting that only their brand of aspirin can be taken with a glass of water. It’s a silly argument, and I’m glad the hospital has stepped up to the plate and challenged Astellas on it.