Pfizer/Biohaven — Migraine Medication Kickbacks
Pfizer Pays Nearly $60 Million for Biohaven Kickback Scheme
Source: U.S. Department of Justice
TL;DR: Pfizer Pays Nearly $60 Million for Biohaven Kickback Scheme This case resulted in a $60 Million resolution and demonstrates the impact of whistleblower protections in recovering funds from fraud.
Summary
Pfizer, on behalf of its subsidiary Biohaven Pharmaceutical Holding Company Ltd, agreed to pay nearly $60 million to resolve allegations that before acquisition by Pfizer, Biohaven violated the False Claims Act and Anti-Kickback Statute by providing remuneration to physicians in the form of speaker honoraria and lavish meals to induce prescriptions of its migraine medication. DOJ alleged the payments were designed to drive prescribing rather than provide legitimate educational value.
Our Take
Pre-acquisition conduct cases highlight the importance of due diligence—acquirers inherit FCA liability. Insiders at acquired companies often have critical evidence: speaker program records, meal expense patterns, communications about targeting high-prescribers, and any compliance concerns that were raised but not addressed. If you witnessed kickback schemes at a company that was later acquired, the evidence you have may still be relevant and actionable.
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Notice
The summaries above are based on publicly available information released by the U.S. Department of Justice and are provided for informational purposes only. They do not constitute legal advice, investigative findings, or allegations by Disclosure Strategy. Our commentary reflects general, experience-based observations about how False Claims Act matters commonly arise and is not a statement about any party's liability.