Rite Aid is suing Ranbaxy Laboratories in an effort to recover the cost of litigation Rite Aid spent while fighting lawsuits against Ranbaxy’s drug metoclopramide, the generic version of Reglan.
Patients have been filing lawsuits by the thousands against Wyeth’s brand name Reglan over its increased adverse side effects — tardive dyskinesia, among others. According to Rite Aid’s complaint filed in U.S. Eastern District Court of Pennsylvania, Rite Aid is seeking compensatory damages in excess of $75,000.
The claim also said that Ranbaxy refused to defend Rite Aid in the lawsuits and that Ranbaxy’s inaction was a breach of their agreement. Rite Aid says it has a “Defense and Indemnity Agreement” with Ranbaxy that holds Ranbaxy liable “to defend indemnify and hold Rite Aid, its shareholders, officers, agents and subsidiaries from any and all losses” (incurred because of the litigation).
Since Ranbaxy didn’t hold up its end of the agreement, Rite Aid claims that the company is in breach. Rite Aid believes that Ranbaxy owes it money for the financial damages the company sustained in paying attorney’s fees, and other costs and expenses.
Of course, Ranbaxy has said it can’t comment.
“As a company policy we do not comment on ongoing litigation,” a spokesperson for Ranbaxy said. “This complaint is being evaluated and … shall be addressed accordingly.”
There is no word about whether if Ranbaxy will choose to settle out of court or take it to trial.
Patients are claiming that they weren’t properly warned about the side effects of generic and brand name Reglan before being prescribed the drug for periods longer than the 12 weeks approved by the FDA.