US Class Action law suit challenges pricing of Gilead's hepatitis-C drug Sovaldi

US law firm Chimicles & Tikellis of Haverford, PA, has filed a law suit on behalf of the Southeastern Pennsylvania Transportation Authority (SEPTA) in federal court in Philadelphia, PA, against Gilead Sciences (Nasdaq: GILD) related to the sale and pricing of its hepatitis-C drug, Sovaldi (sofosbuvir).

Gilead has been selling a 12 week regimen of Sovaldi in the USA for around $84,000, or $1,000 per pill. This is significantly more than the original price projection for Sovaldi, and in sharp contrast to the prices at which the drug is being made available in other countries. Gilead recently announced its intention to make Sovaldi available in 91 developing countries at deeply discounted prices, and the drug is reportedly available in Egypt for 99% below the US price. This obvious  pricing paradox is under investigation by the Senate Finance Committee, which has questioned if the market for Sovaldi "is working efficiently and rationally," and whether "payors of health care….can carry such a load."

Price may be justified for rare disease drugs, but hep C has a vast population