AAM Appeals Over California Pay-For-Delay Law
Follows District Court’s Denial Of Injunction Request
Responding to a California district court’s denial of an injunction to prevent the enactment of the US state’s legislation banning ‘pay-for-delay’ settlement deals, the AAM has confirmed plans to immediately appeal the decision.
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As the AAM failed to demonstrate a “concrete or imminent” injury to its member companies, a US appeals court has rejected the agency’s challenge to the Californian law banning “pay-for-delay” deals.
California’s 2020-2021 fiscal budget includes plans to work with manufacturers to establish the state’s own generics label. But industry is sceptical that the initiative will deliver the savings that the US state hopes for.
The AAM has filed a lawsuit seeking an injunction to prevent the implementation of Californian legislation banning ‘pay-for-delay’ deals. The law is due to come into effect in January next year.