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Abbott Laboratories

AIDS care group sues drug company for false advertising

Published in Hospital and Nursing Home Week, April 15th, 2004

A private AIDS care provider has filed a lawsuit against pharmaceutical giant Abbott Laboratories, accusing the company of false advertising for saying that state Medicaid programs would not be affected by a recent price increase for its AIDS drug.

The AIDS Healthcare Foundation filed the Superior Court lawsuit in March. The foundation, one of the country's largest AIDS care providers, said the company made "fraudulent, false and misleading" statements that state programs would not be affected by a nearly 400% rise in the price for its AIDS treatment ritonavir, which is sold under the brand name Norvir.

The foundation said the statements induced...

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