State Supreme Court upholds damages in drug lawsuit

Former attorney general sued drug companies

The Wisconsin Supreme Court has upheld damages that were awarded in a lawsuit the state brought against a prescription drug company accused of inflating prices.

The lawsuit dates back to 2004 when then-Attorney General Peg Lautenschlager sued 36 drug companies alleging they inflated wholesale prices to get larger payments from Medicaid, private insurers and consumers.

One of those companies, Pharmacia, Inc., appealed a jury verdict that the company violated state law.

The Supreme Court on Friday only ruled on three issues in the case and left the rest for the appeals court to determine later.

The Supreme Court said $9 million was an appropriate amount of damages even though Pharmacia wanted it lowered and it upheld the number of violations against the company that resulted in another $4.5 million penalty.