Pfizer will give Colorado $107,000 to settle failed coupon lawsuit
About 1,500 Coloradans will receive reimbursement from Pfizer after the drug company failed to honor coupons for three drugs, according to the Colorado attorney general’s office.
Pfizer reached a settlement in the case after lawsuits were filed by four states, including Colorado. The company agreed to refund just over $107,000 to Colorado, giving consumers in the state about $71 per person.
From around 2014 to 2018, Pfizer offered co-pay coupons to help patients pay for a drug, which treats moderate to severe symptoms related to menopause. Two other Pfizer drugs with co-pay coupons were also part of the settlement.
The coupons in question stipulated that consumers “would not pay more than” a certain price, according to the AG’s press release. An investigation by the Consumer Protection Section of the Colorado Department of Justice found that hundreds of patients were paying more than the amount of the coupons.
The coupons included terms and conditions in fine print, which listed a cap on potential savings and stated that disbursements could exceed the stated “pay no more than” amount, but those terms were not clearly listed, thus violating Colorado . Consumer Protection Act, according to the statement.
“Many Coloradans use coupons from drug manufacturers to access and pay for expensive drugs. The Colorado Consumer Protection Act protects consumers from deceptive practices, such as drug companies issuing these coupons but failing to deliver on their promises,” Phil Weiser, Attorney General, said in the statement. “We will continue to prioritize fair treatment for Colorado consumers and hold companies like Pfizer accountable for breaking promises or hiding critical terms in hard-to-read fine print.”
Pfizer will also pay $30,000 to the AG’s office to reimburse state costs and attorney fees. A portion of the payment will also be used for future consumer fraud, consumer credit or antitrust enforcement, consumer education, or public welfare purposes.
Reimbursement to Colorado consumers will be in the form of a check, mailed within the next four months along with a letter explaining the settlement. Neither the Attorney General’s Office nor Pfizer will ask consumers for their personal information or bank details.
Colorado worked with Vermont, Arizona and Kansas to achieve the colony.