Georgia city sues alleging 'unconscionable' drug cost



ATLANTA (AP) — A Georgia city is suing a pharmaceutical company over a medication it says went from $40 to over $39,000.  Marietta says in its lawsuit against Mallinckrodt ARD LLC that it has spent more than $2 million on the drug Acthar for one patient covered by its self-funded health plan. It filed the lawsuit Thursday in federal court in Atlanta. In a statement, the company said it has invested more than $600 million in the drug and offers significant discounts to many customers. The drug is used to treat a seizure disorder in babies and acute relapses of multiple sclerosis in adults, among other conditions.

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