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March 24, 2022

California District Court Keeps Blue Cross Bid in Gilead HIV Drug Antitrust Case

On March 14, the U.S. District Court for the Northern District of California held that the Blue Cross Blue Shield Association (BCBSA) may advance as one of the plaintiffs in a proposed class action over Gilead Sciences Inc.'s HIV prevention drugs. Gilead, Bristol-Myers Squibb Co., Teva Pharmaceuticals Industries, Ltd., and a Johnson & Johnson affiliate currently face claims that they conspired to delay generic versions of Truvada. Beginning in 2019, this lawsuit is a part of broader antitrust claims on behalf of consumers, health plans, insurers, and drug distributors. BCBSA sued in its capacity as an administrator of federal health plans. Denying the defendants' motion to dismiss BCBSA for lack of standing, Judge Edward M. Chen wrote that BCBSA presented a prima facie case that the Association pays upfront for Gilead's HIV drugs.