Jon Campisi Feb. 11, 2013, 6:32am
Specialty pharmaceutical company Impax Laboratories Inc., which has locations Philadelphia and Bucks County, Pa., announced Feb. 8 that it has settled all pending litigation with Shire LLC and Shire Laboratories Inc. relating to supply of its generic version of the drug Adderall, stating that Shire has agreed to make a one-time cash payment to Impax in the amount of $48 million.
Impax, according to a company news release, commenced sales of authorized generic Adderall XR in October 2009, and a month later the company filed suit against Shire for breach of contract and other related claims alleging that the defendant failed to fill Impax’s orders for the generic pharmaceutical.
Shire subsequently filed a counterclaim against Impax relating to its ordering practices under the parties’ License and Distribution Agreement that dated back to January 2006.
Under the terms of last week’s announced settlement, both claims will be dismissed.
Imax and Shire have entered into an amended agreement that will govern the future supply of authorized generic Adderall from Shire to Impax, the news release stated.
When the supply term ends in the fall of 2014, Impax will continue to have the right to sell its products on hand or owed to it under the agreement until depleted and will continue to have to pay a profit share to Shire on the sales of such products, Impax announced.
At the same time, Impax will also continue to pursue FDA approval of its pending drug application for generic Adderall XR, which was filed in September 2003.
Impax is headquartered in Hayward, Calif., but has offices in Philadelphia’s Frankford section and in Chalfont, Bucks County, which is located just outside of Philadelphia.
Shire is based in Dublin, Ireland, but has its U.S. headquarters in Wayne, Pa.
Adderall is a drug designed to treat people with Attention Deficit Hyperactivity Disorder, or ADHD.