North Carolina to Receive Nearly $4 Million as Part of Depakote Settlement
A pharmaceutical company has agreed to $100 million settlement 45 states and the District of Columbia, including North Carolina, for illegal marketing an off-label version of its drug Depakote. The settlement with Abbott Labs is the largest ever reached with a pharmaceutical company.
Depakote, also known as valproic acid, is approved by the Food and Drug Administration (FDA) for the treatment of seizures, bipolar disorder and prophylaxis of migraines, but not for schizophrenia, agitated dementia, and autism. This complaint alleged that Abbott Labs unlawfully marketed this drug for these unapproved uses.
In conjunction with this settlement agreement, Abbott Labs is barred from making further false and misleading claims about Depakote in the future, promoting off-label uses and from giving financial incentives for off-label use.
North Carolina will receive approximately $3.5 million for consumer protection efforts in the state. The State Health Plan for Teachers and State Employees will also get $390,532 and the state prison system will get $184,468 in reimbursements for this drug.