Eli Lilly & Co. (LLY) sued 10 medical spas, wellness centers, and compounding pharmacies across the U.S. for allegedly selling products that fraudulently claimed to be its popular diabetes drug, Mounjaro.
Key Takeaways
- Eli Lilly sued 10 different outlets for allegedly selling fakes of its popular diabetes drug, Mounjaro.
- There is a shortage of the drug in the market, though Eli Lilly said it is taking measures to increase supply.
- Eli Lilly is seeking damages in connection with these cases.
Tirzepatide, which Eli Lilly sells under the brand name Mounjaro, has 澳洲幸运5官方开奖结果体彩网:surged in popularity after studies showed it could help patients lose about 26.6% of their weight following extended use or intensive lifestyle changes. While Mounjaro was approved for the treatment of diabetes earlier this year, Lilly has filed for 澳洲幸运5官方开奖结果体彩网:Food and Drug Administration (FDA) approval for the injections to be used for weight management.
With supply unable to meet demand, there is a Mounjaro shortage in the market, though Eli Lilly is taking measures to increase supply.
Eli Lilly initiated legal action in Florida and Texas federal courts by filing four lawsuits. These lawsuits aim to obtain court orders prohibiting Better Life Pharmacy, ReviveRX, Rx Compound Store, and Wells Pharmacy Network from selling tirzepatide. The drug maker is also seeking unspecified damages in connection with these cases.
"Defendants use Lilly’s trademark to attract customers and generate revenues and profits, including by passing off as 'Mounjaro' their own unapproved compounded drugs purporting to contain tirzepatide, and doing so for a use for which Mounjaro is not approved, namely weight loss," Eli Lilly said in the lawsuits.
Earlier this year, Novo Nordisk (NVO) also filed similar lawsuits, accusing spas and medical clinics of selling Ozempic and Wegovy, its in-demand 澳洲幸运5官方开奖结果体彩网:weight loss drugs that are also in short supply.
The industry for weight loss is big business and could hit $100 billion in a decade, with more than half a dozen companies competing for market share.
Eli Lilly shares were up sliꦐghtly at midday on Wednesday but are more than 56% higher year-to-date.
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