Jazz Pharmaceuticals Secures Dismissal of Patent Fraud Lawsuit

Jazz Pharmaceuticals PLC no longer has to defend itself against a whistleblower suit alleging the company fraudulently obtained patents to unlawfully hold a monopoly over depressant drug Xyrem.

The False Claims Act’s public disclosure bar precludes Leonardo S. Sorgi’s suit alleging the company engaged in a scheme to exclude lower-cost generic competitors, and caused federal health-care programs to reimburse Xyrem prescriptions at inflated prices, Judge Patti B. Saris of the US District Court for the District of Massachusetts said in a Tuesday order to dismiss.

The bar disallows suits based on publicly available information, the court said, and Sorgi based ...