March 05, 2026|The AG Line
Introduction
On January 16, 2026, Virginia Attorney General Jason Miyares reached a settlement with Viatris, the corporate successor to Mylan, resolving Virginia’s consumer protection claims related to EpiPen pricing, marketing, and contracting practices. The Assurance of Voluntary Compliance was filed and approved by the Circuit Court for the City of Richmond without a press release from the AG’s office. Under the agreement, Viatris will pay $6.25 million and commit to a suite of consumer-facing measures while denying liability.
How the States See It
Virginia’s complaint contends Mylan raised the list price of EpiPen two-packs dramatically over years without material product changes and discontinued single-pack sales in the U.S. while continuing them abroad, thereby effectively pushed consumers toward higher cost purchases. The Commonwealth also alleges that marketing did not clearly explain why having a second device was medically necessary.
The complaint further argues that Mylan secured preferential formulary status by tying rebates and conditional arrangements with pharmacy benefit managers (PBMs) to higher list prices, disadvantaging competitors and contributing to what Virginia labels “supra-competitive” pricing. The Commonwealth framed its allegations as deceptive trade practices under state consumer protection law, instead of unfair competition.
Under the Assurance, Viatris will pay $6.25 million, agrees to enhance and promote co-pay assistance for the authorized generic EpiPen, increase visibility of coupon and patient assistance programs in Virginia, continue school-based epinephrine access initiatives, and negotiate in good faith for EpiPen donations to the Commonwealth. In return, Virginia granted a broad release of civil claims tied to covered conduct, subject to specified carve-outs. Viatris denies wrongdoing and the settlement does not include an admission of liability.
Conclusion
The Virginia EpiPen assurance illustrates how pricing strategy, product configuration, and PBM rebate structures can be reframed as consumer-protection issues, even where the underlying conduct might traditionally be viewed through an antitrust lens. The Commonwealth’s theory connects list price increases, packaging decisions, and rebate negotiations into a single narrative about consumer harm. For companies operating in regulated pricing environments, that framing matters:
- If pricing strategy depends in part on product configuration or availability decisions, assume those choices may be examined not only as competitive positioning but as potential consumer deception.
- PBM rebate structures and formulary negotiations can become part of a broader consumer-protection narrative, particularly if higher list prices are paired with conditional rebate arrangements.
- Settlement commitments often extend beyond payment. Consumer-facing programs, co-pay assistance visibility, and negotiated donations can shape ongoing operational obligations and signal enforcement priorities.
If your business relies on pricing models, rebate arrangements, or product configurations that could be misunderstood outside the industry context, it is worth pressure-testing how those decisions would read in a consumer-protection complaint. We help companies evaluate those risks early and align legal, commercial, and messaging strategies before scrutiny arrives. Reach out to us by email for more information on how we can help.
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