Impax settles suit, gets Oxycontin rights

HAYWARD, Calif., April 2 (UPI) -- U.S. firm Impax said Monday it has settled its patent suit with Purdue and gained a license to sell generic Oxycontin.

The drug company said it has signed an agreement with Purdue Pharma and some of its affiliates settling a patent infringement lawsuit centered on Impax's generic version of Purdue's Oxycontin (oxycodone) controlled-release tablets.

Under the deal, Impax and its exclusive distributor, Dava Pharmaceuticals, have been granted a a license to sell generic Oxycontin through June 14, along with rights to resume marketing "in the near future of a limited amount of product for a limited period of time," the company said in a statement.

The settlement agreement will be submitted to the Federal Trade Commission and the U.S. Department of Justice for approval, Impax said.

The drug maker added that it has amended its distribution deal with Dava for oxycodone hydrochloride extended-release tablets.

Under the change, Impax began getting a larger share of profits from the sales of the product beginning about March 1 and Dava no longer has to make appointment-fee payments beyond the $10 million already paid.

Under the initial agreement, Dava was obligated to make such payments totaling $60 million over five years in exchange for exclusive distribution rights. The new deal reflects changes in the marketplace, the company said.