Set back for GSK in Augmentin court battle

pharmafile | October 27, 2003 | News story | |   

GlaxoSmithKline has suffered a set back in its bid to see off early US generic competition for antibiotic Augmentin, one of its biggest products.

GSK has accused Teva of Israel, Ranbaxy of India and a subsidiary of Novartis of using stolen bacteria, essential to the manufacture of the drug.

But a judge of the International Trade Commission has dismissed the company's claim, ruling that the bacteria had lost its status as a trade secret when GSK settled a similar case with Novartis in Europe.

The decision is just one more court ruling to go against the Anglo-American company, which has seen US generic versions given the green light to compete with GSK's two other biggest sellers, antidepressants Paxil and Wellbutrin.

The markets have been well prepared for the bad news, even though many thought GSK would win this latest court battle. GSK is nevertheless determined to exhaust all legal possibilities before conceding defeat, and will appeal against all the decisions.

The company has also launched new formulations of all three drugs in the hope of maintaining a large proportion of its existing sales.

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