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United States Supreme Court

Federal Trade Commission v. Actavis, Inc., 12-416

The Eleventh Circuit erred in affirming the dismissal of a suit brought by plaintiff Federal Trade Commission (FTC) alleging that violated section 5 of the Federal Trade Commission Act by unlawfully agreeing to abandon their patent challenges, to refrain from launching their low-cost generic drugs, and to share in the patent holder's monopoly profits, where: 1) although the anti-competitive effects of the reverse settlement agreement might fall within the scope of the exclusionary potential of the patent holder's patent, this does not immunize the agreement from antitrust attack; 2) the FTC should have been given the opportunity to prove its antitrust claim; but 3) reverse payment settlement agreements are not presumptively unlawful, but should be reviewed by applying the "rule of reason," rather than under a "quick look" approach.

Appellate Information

  • Decided 06/17/2013
  • Published 06/17/2013




  • United States Supreme Court


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