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Eike v. Allergan, Inc.
2017 U.S. App. LEXIS 3954
7th Cir.
2017
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Background

  • Plaintiffs (classes in Illinois and Missouri) sued six pharmaceutical manufacturers, alleging their glaucoma eye drops are too large (>16 microliters) and therefore wasteful and overpriced.
  • Plaintiffs seek damages equal to the price difference per drop if drops were limited to 16 µL multiplied by number of drops purchased.
  • No antitrust claim or allegation of misrepresentation: plaintiffs do not allege collusion or false statements by defendants.
  • Plaintiffs claim larger drops provide no additional therapeutic benefit and may increase side effects or run out faster, but they allege no actual injuries from side effects or early depletion.
  • Defendants point to FDA approval of the larger drops, pharmacologic reasons (active ingredient small portion of drop; eye capacity varies), and practical concerns (elderly or impaired users missing smaller drops).
  • District court certified classes; the appellate court vacated certification and ordered dismissal with prejudice for lack of standing and failure to allege a legally protected injury.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Standing to sue for overpriced product-size Consumers paid more because drops exceed optimal 16 µL; economic "pocketbook" injury No legally cognizable injury: only disappointment/regret that product isn't smaller or cheaper Plaintiffs lack Article III standing; dismissal required
Claim under consumer-protection statutes (IL & MO) based on drop size Larger drops violate consumer fraud/merchandising statutes by causing overpayment No deception, misrepresentation, or collusion; product lawfully marketed and FDA-approved Statutory claims fail where no legally protected injury is pled; cannot convert dissatisfaction into injury
Ability of courts to evaluate safety/efficacy vs. FDA authority Plaintiffs imply smaller drops could be safer/cheaper and courts can adjudicate harm FDA approval of current drops places safety/efficacy questions within agency competence; courts should not substitute their judgment Court refuses to bypass FDA; technical efficacy questions belong to agency process
Remedy sought (forcing manufacture of smaller drops) Seek damages based on hypothetical cheaper product and effectively a change in manufacturers’ product decisions Courts cannot compel private companies to produce a different product; plaintiffs didn’t ask FDA to mandate change Remedy inappropriate; even if theoretically better product exists, courts cannot force production and plaintiffs allege no compensable injury

Key Cases Cited

  • Spokeo, Inc. v. Robins, 136 S. Ct. 1540 (2016) (Article III standing requires concrete injury beyond mere procedural or informational violations)
  • Lujan v. Defenders of Wildlife, 504 U.S. 555 (1992) (standing requires injury that is concrete, particularized, and actual or imminent)
Read the full case

Case Details

Case Name: Eike v. Allergan, Inc.
Court Name: Court of Appeals for the Seventh Circuit
Date Published: Mar 6, 2017
Citation: 2017 U.S. App. LEXIS 3954
Docket Number: No. 16-3334
Court Abbreviation: 7th Cir.