Arizona Attorney General Kris Mayes has filed a lawsuit against pharmaceutical company GlaxoSmithKline (GSK), accusing the firm of engaging in deceptive practices that endangered asthma patients, particularly children. The legal action alleges that GSK discontinued its asthma medication, Flovent, and replaced it with an identical authorized generic to evade Medicaid rebates tied to price inflation.
"GSK put corporate greed ahead of the health and safety of Arizona's families and children," stated Attorney General Mayes. She emphasized the manipulation led to a lack of access to crucial medication for many patients, resulting in increased emergency room visits and potentially preventable deaths.
Flovent was widely prescribed across the United States, including over 1 million users in Arizona. However, GSK allegedly increased its price significantly over time. A change in legislation through the American Rescue Plan removed a cap on Medicaid rebates as of January 2024. This removal meant GSK could face rebates exceeding Flovent's price due to past price hikes.
On January 1, 2024, coinciding with this legislative change, GSK reportedly stopped selling Flovent under its brand name and introduced an "authorized generic" version via Prasco LLC. This move allowed them to avoid rebate obligations linked to Flovent’s previous pricing history under Medicaid rules.
The lawsuit seeks accountability from GSK under the Arizona Consumer Fraud Act for alleged violations concerning consumer protection laws. Dr. Rahul Chawla from Banner Thunderbird Medical Center reported observing significant health impacts on pediatric asthma patients due to difficulties accessing effective medication after Flovent's market removal.
Dr. Helene Felman from Tucson also noted adverse effects on her young patients following the transition away from Flovent. She described one case where a patient experienced a six-week delay before finding an affordable alternative inhaler covered by insurance.
Attorney General Mayes concluded by stating: "GSK jeopardized the health of asthma patients to avoid their legal obligations." She vowed that Arizona would hold GSK accountable for prioritizing profits over people’s lives.