New: a trial court in 1 of every 10 U.S. counties. Read the post
Court Rules
All enforcement actions
SettlementCritical RiskMultistate

CT AG Settles with Lannett and Bausch Health for $17.85M Over Generic Drug Price-Fixing

Lannett Company, Inc., Bausch Health US, LLC, Bausch Health Americas, Inc.February 2, 2026Connecticut Attorney General

Penalty Amount

$17,850,000

Summary

Connecticut Attorney General William Tong led a coalition of 48 states and territories in announcing settlements with Lannett Company, Inc. and Bausch Health entities totaling $17.85 million. The settlements resolve allegations that the companies engaged in conspiracies to inflate prices and limit competition for generic prescription drugs. The companies agreed to cooperate in ongoing litigation and implement internal reforms, while a new complaint was filed against Novartis and subsidiaries.

Remedy

The settlements require Lannett and Bausch to pay a combined $17.85 million, cooperate with the multistate litigation, and adopt internal reforms to ensure antitrust compliance.

Monetary PenaltyConsent DecreeCompliance Program

Contract Impact

In-house legal teams should review vendor agreements for clauses that may facilitate anti-competitive behavior such as price-fixing, market allocation, or bid rigging. Ensure contracts include robust antitrust compliance representations, warranties, and audit rights, and consider adding provisions that prohibit collusive practices and require adherence to competition laws.

Contract Search Terms

price-fixingmarket allocationbid riggingantitrust compliancegeneric drug pricingcompetition lawtrade restraintcollusionfair competitioncompliance program

Violation Types

Entity Details

Entity

Lannett Company, Inc., Bausch Health US, LLC, Bausch Health Americas, Inc.

Also known as: Bausch Health

Industry

Healthcare

Multistate Coalition

AlaskaArizonaCaliforniaColoradoDelawareDistrict of ColumbiaFloridaGeorgiaIdahoIllinoisIndianaIowaKansasKentuckyMaineMarylandMassachusettsMichiganMinnesotaMississippiMontanaNebraskaNevadaNew HampshireNew JerseyNew MexicoNew YorkNorth CarolinaNorth DakotaNorthern Mariana IslandsOhioOklahomaOregonPennsylvaniaRhode IslandSouth CarolinaSouth DakotaTennesseeUtahU.S. Virgin IslandsVermontVirginiaWashingtonWest VirginiaWisconsinWyomingPuerto Rico

Official Sources

Source Evidence

Entity Name
"Lannett Company, Inc. (“Lannett”) and Bausch Health US, LLC and Bausch Health Americas, Inc. (“Bausch”)"
Fine Amount
"totaling $17.85 million"
Violation Types
"engaged in widespread, long-running conspiracies to artificially inflate and manipulate prices, reduce competition, and unreasonably restrain trade"

Related Enforcement Actions

CT

Frontier Communications Parent Inc.

$625K

Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.

CT

Boston Children’s Health Physicians and XTIUM

$2.6M

Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.

CT

Character Technologies, Inc.

Connecticut joined a coalition of state attorneys general filing a notice in Character Technologies, Inc.’s bankruptcy proceedings, raising concerns about the company’s safety and privacy practices and the sensitive information it holds. The states seek protections for children and consumers if the company’s business or assets are sold or transferred; the filing does not impose a fine or other remedy.

CT

Connecticut public utilities

Attorney General William Tong and Consumer Counsel Claire Coleman petitioned PURA to review how Connecticut public utilities use artificial intelligence, citing potential data privacy and cybersecurity risks, algorithmic errors, and misleading outputs. The petition asks PURA to examine utility AI systems, safeguards, vendors, and data security practices; it does not report a finding of violation or an imposed penalty.

CT

RZ Smoke, Inc.

$2.0M

Connecticut Attorney General William Tong announced a settlement with RZ Smoke, Inc. over allegations that it distributed and sold high-potency cannabis products without a state license. The stipulated judgment is $2 million, with $375,000 payable to the State and $1.6 million suspended to ensure compliance; the company is barred from specified cannabis activities in Connecticut unless licensed.

CT

Takeda Pharmaceuticals, U.S.A., Inc.

$13.7M

Connecticut joined a coalition of states and the federal government in settling allegations that Takeda paid healthcare providers speaker honoraria and provided meals to induce prescriptions of Trintellix, leading to allegedly false claims to government healthcare programs. Takeda agreed to pay $13,670,921 plus accrued interest, with portions allocated to federal and state programs.