Wednesday, February 6, 2013

Suprising Result From Alabama Supreme Court on Generic Drug Warnings


              Last month, the Supreme Court of Alabama issued a suprising opinion related to generic drug manufacturers' warnings. In Wyeth, Inc. v. Weeks, ___ So. 3d ___, 2013 WL 135753 (Ala. Jan. 11, 2013), Weeks alleged that he suffered injuries as a result of his long-term use of the prescription drug metoclopramide, which is the generic form of the brand-name drug Reglan.  It was undisputed that Weeks ingested the generic form of the drug.  In this opinion, the Alabama Supreme Court addressed the following certified question:
            Under Alabama law, may a drug company be held liable for fraud or misrepresentation (by misstatement or omission), based on statements it made in connection with the manufacture or distribution of a brand-name drug, by a plaintiff claiming physical injury from a generic drug manufactured and distributed by a different company?
 
            In an 8 to 1 decision, the Alabama Supreme Court answered:
             Under Alabama law, a brand-name drug company may be held liable for fraud or misrepresentation (by misstatement or omission, based on statements it made in connection with the manufacture of a brand-name prescription drug, by a plaintiff claiming physical injury caused by a generic drug manufactured by a different company.  Unlike other consumer products, prescription drugs are highly regulated by the FDA.  Before a prescription drug may be sold to a consumer, a physician or other qualified health-care provider must write a prescription.  The United States Supreme Court in Wyeth v. Levine recognized that Congress did not preempt common-law tort suits, and it appears that the FDA traditionally regarded state law as a complementary form of drug regulation.  The FDA has limited resources to monitor the 11,000 drugs on the market, and manufacturers have superior access to information about their drugs, especially in the postmarketing phase as new risks emerge; state-law tort suits uncover unknown drug hazards and provide incentives for drug manufacturers to disclose safety risks promptly and serve a distinct compensatory function that may motivate injured persons to come forward with information.  Wyeth v. Levine, 555 U.S. at 578-79.
 
            FDA regulations provide that a generic-drug manufacturer’s labeling for a prescription drug must be exactly the same as the brand-name-drug manufacturer’s labeling.  The Supreme Court in PLIVA held that it would have been impossible for the generic-drug manufacturers to change their warning labels without violating the federal requirement that the warning on the brand-name version, preempting failure-to-warn claims against generic manufacturers.
 
            In the context of inadequate warnings by the brand-name manufacturer placed on a prescription drug manufactured by a generic-drug manufacturer, it is not fundamentally unfair to hold the brand-name manufacturer liable for warnings on a product it did not produce because the manufacturing process is irrelevant to misrepresentation theories based, not on manufacturing defects in the product itself, but on information and warning deficiencies, when those alleged misrepresentations were drafted by the brand-name manufacturer and merely repeated by the generic manufacturer.
 
            This opinion includes discussions of (a) Alabama’s Pharmacy Act which permits a pharmacist to select in place of a brand-name drug a less expensive generic version and insurance plans’ promoting of using generics; (b) FDA’s regulations; (c) prior conflicting opinions on this question; and (d) the learned-intermediary doctrine.  As to the last item, the Alabama Supreme Court observed that Weeks “must show that the manufacturer failed to warn the physician of a risk not otherwise known to the physician and that the failure to warn was the actual and proximate cause of the patient’s injury,” that is, “but for the false representation made in the warning, the prescribing physician would not have prescribed the medication to his patent.”