UNITED STATES EX REL. SHELDON v. ALLERGAN SALES

No. 20-2330.

24 F.4th 340 (2022)

UNITED STATES EX REL. Deborah SHELDON, Executrix of the Estate of Troy Sheldon, United States of America, ex rel., Plaintiff-Appellant, v. ALLERGAN SALES, LLC, Defendant-Appellee. United States of America; Taxpayers Against Fraud Education Fund, Amici Supporting Appellant. Washington Legal Foundation; Chamber of Commerce of the United States of America; Pharmaceutical Research and Manufacturers of America, Amici Supporting Appellee.

United States Court of Appeals, Fourth Circuit.

Decided: January 25, 2022.


Attorney(s) appearing for the Case

ARGUED: Joshua Yrion Dos Santos , UNITED STATES DEPARTMENT OF JUSTICE, Washington, D.C.; Joseph M. Callow, Jr. , KEATING, MUETHING & KLEKAMP PLL, Cincinnati, Ohio, for Appellant. John Patrick Elwood , ARNOLD & PORTER KAYE SCHOLER LLP, Washington, D.C., for Appellee. ON BRIEF: Gregory M. Utter , Paul R. Kerridge , Collin L. Ryan , KEATING MUETHING & KLEKAMP PLL, Cincinnati, Ohio; Joel D. Hesch , THE HESCH FIRM, LLC, Lynchburg, Virginia, for Appellant. Michael A. Rogoff , Paula R. Ramer , New York, New York, Jeffrey L. Handwerker , Christian D. Sheehan , ARNOLD & PORTER KAYE SCHOLER LLP, Washington, D.C., for Appellee. Brian M. Boynton , Acting Assistant Attorney General, Michael S. Raab , Charles W. Scarborough , Civil Division, UNITED STATES DEPARTMENT OF JUSTICE, Washington, D.C., for Amicus United States of America. Jacklyn De Mar , TAXPAYERS AGAINST FRAUD EDUCATION FUND, Washington, D.C.; John W. Black , Samuel J. Buffone, Jr. , BLACK & BUFFONE PLLC, Washington, D.C., for Amicus Taxpayers Against Fraud Education Fund. John M. Masslon, II , Cory L. Andrews , WASHINGTON LEGAL FOUNDATION, Washington, D.C., for Amicus Washington Legal Foundation. James C. Stansel , Melissa B. Kimmel , PHARMACEUTICAL RESEARCH AND MANUFACTURERS OF AMERICA, Washington, D.C., for Amicus Pharmaceutical Research and Manufacturers of America. Tara S. Morrissey , Andrew R. Varcoe , UNITED STATES CHAMBER LITIGATION CENTER, Washington, D.C., for Amicus Chamber of Commerce of the United States of America. John C. O'Quinn , Matthew S. Owen , Matthew D. Rowen , Andrea R. Butler , KIRKLAND & ELLIS LLP, Washington, D.C., for Amici Pharmaceutical Research and Manufacturers of America and Chamber of Commerce of the United States of America.

Affirmed by published opinion. Judge Wilkinson wrote the opinion, in which Judge Richardson joined. Judge Wynn wrote a dissenting opinion.


Plaintiff Troy Sheldon filed a False Claims Act qui tam suit against his employer, Forest Laboratories, LLC. He alleged that Forest engaged in a fraudulent price reporting scheme under the Medicaid Drug Rebate Statute, 42 U.S.C. § 1396r-8, by failing to aggregate discounts given to separate customers for purposes...

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