Duckworth Urges FTC to Investigate Pharmaceutical Sourcing Giant for Potential Anticompetitive, Unfair and Deceptive Distribution of Federally-Approved Medication

[WASHINGTON, D.C.] — Following public reports indicating that pharmaceutical giant AmerisourceBergen—which is the sole wholesale distributor of Mifepristone—developed business plans refusing to distribute the pill to retail pharmacies in certain states while continuing to provide it to healthcare providers in the same state, U.S. Senator Tammy Duckworth (D-IL) today is calling on the U.S. Federal Trade Commission (FTC) to investigate the company for this anticompetitive, unfair and deceptive behavior. If the company moved forward with this plan, it could severely limit many women’s access to the medication they need and their right to reproductive freedom in a shameful attempt to reduce consumer choice, raise prices and restrict trade to maximize the company’s own profits.

In the letter, Duckworth urges the FTC to investigate AmerisourceBergen for potential violations of the FTC Act, including: “potentially engaging in unfair methods of competition; unfair or deceptive acts or practices; and restraint of trade through contract, combination or conspiracy.”

In conclusion, Duckworth wrote: “The bottom line is that based on existing information, data and evidence, one cannot dismiss the possibility that AmerisourceBergen may be using broader political disagreements and active legal debates as pretextual cover and justification for engaging in anticompetitive, unfair and deceptive practices that are primarily concerned with maximizing profit margins by reducing consumer choice and restricting trade with an entire industry of retail pharmacies.”

Full text of the letter can be found here and below.

Dear Chair Khan:

I write to request that the Federal Trade Commission (FTC) investigate AmerisourceBergen for potential violations of the FTC Act, including potentially engaging in unfair methods of competition; unfair or deceptive acts or practices; and restraint of trade through contract, combination or conspiracy.

Public reports indicate that AmerisourceBergen—the sole wholesale distributor of the brand name version of Mifepristone to retail pharmacies—may be planning to exercise its monopolistic power in certain States to refuse to sell brand name Mifepristone to retail pharmacies that receive U.S. Food and Drug Administration (FDA) certification to distribute that medication, while continuing to sell brand name Mifepristone directly to healthcare providers.

While significant controversy around this alleged commercial strategy focuses on matters related to reproductive health freedom, the bottom line is that a major wholesale distributor with market dominance over a product that retail pharmacies may wish to purchase, appears to be using its monopolistic market power to conspire against doing business with an entire industry of retail pharmacies, to the advantage of another class of customers, healthcare providers.

Beyond AmerisourceBergen’s potential restraint of trade through contract, combination or conspiracy against retail pharmacies, the company may also be engaging in unfair or deceptive acts or practices that threaten to restrict consumer choice, lessen competition and increase costs for patients that live in States where AmerisourceBergen plans to refuse to distribute brand name Mifepristone to retail pharmacies and only provide the medication to certain providers.

The bottom line is that based on existing information, data and evidence, one cannot dismiss the possibility that AmerisourceBergen may be using broader political disagreements and active legal debates as pretextual cover and justification for engaging in anticompetitive, unfair and deceptive practices that are primarily concerned with maximizing profit margins by reducing consumer choice and restricting trade with an entire industry of retail pharmacies.

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