Cigna Sues Bristol Myers Squibb Alleging Scheme to Block Generic Drug

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Cigna filed a lawsuit on June 24 in Manhattan federal court accusing Bristol Myers Squibb of unlawfully blocking generic versions of its blood cancer drug, Pomalyst, from entering the market. The suit also names Celgene, a Bristol Myers subsidiary that originally developed and marketed the drug. Cigna alleges that Celgene violated U.S. antitrust laws by engaging in a years-long scheme to maintain its monopoly over the treatment of multiple myeloma.

Cigna alleges that Celgene filed sham patent lawsuits and entered into “pay-for-delay” agreements with generic manufacturers to stifle competition. These practices allegedly postponed the entry of generics into the market until at least 2026, driving up costs for insurers and patients and inflating the price of both branded and generic versions of the drug. Cigna contends that these tactics cost it and other payors hundreds of millions of dollars.

The lawsuit seeks unquantified treble damages and aims to dismantle what Cigna describes as an unlawful monopoly on the market. The outcome of this case could reshape how courts interpret pharmaceutical patent strategies that delay generic competition.

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