State of California v. Schering-Plough Corp. – Qui Tam / False Claims Act Settlement

Berger Montague represented the whistleblower in State of California v. Schering-Plough Corporation, in which Schering-Plough Corporation (now known as Merck & Co.) agreed to pay $21.3 million to settle qui tam allegations that it knowingly inflated the prices of its drugs, causing California’s Medicaid Program, Medi-Cal, to overpay millions of dollars in reimbursement.

Led by Sherrie R. Savett and Joy Clairmont of Berger Montague, the whistleblower alleged that Schering-Plough violated the California False Claims Act by reporting inflated prices for Albuterol, a widely prescribed generic drug used to treat asthma, as well as other drugs, knowing that Medi-Cal would base its provider reimbursement on those prices. At the time of the settlement, Attorney General Edmund G. Brown Jr. stated, “With healthcare costs spiraling out of control, it’s unconscionable that a Fortune 500 pharmaceutical company deliberately inflated its drug prices to cheat California’s public healthcare system out of millions of dollars.”

If you are a whistleblower seeking representation concerning a potential qui tam / whistleblower / False Claims Act case, please contact Berger Montague.

About Berger Montague

Berger Montague is a national law firm focusing on complex civil litigation in federal and state courts throughout the United States. For over half a century, Berger Montague has played lead roles in consequential, precedent-setting cases and has recovered over $50 billion for its clients and the classes they have represented. Berger Montague is headquartered in Philadelphia and has offices in Chicago, Minneapolis, San Diego, San Francisco, Toronto, and Washington, D.C.