Eaton County Commissioners takes first steps to sue insulin manufacturers

LANSING, Mich. (WLNS) – The Eaton County Board of Commissioners took the first step in suing insulin manufacturers over allegations of price fixing.

Commissioner Jacob Toomey tells 6 News a resolution passed Wednesday authorizes the County Administrator to explore the potential for a lawsuit, as well as identify attorneys to represent the county in a lawsuit.

“Should this come to fruition, any outside counsel that may represent Eaton County would not be compensated at all unless Eaton County receives a financial benefit as a result of the claims in litigation,” Toomey says.

actual insulin resolution Eaton CountyDownload

The resolution approved Wednesday following a closed session meeting was opposed by Commissioner Blake Mulder. The remaining 14 Commissioners voted in favor.

If the county sues, it will be the fifth county to sue insulin manufacturers over alleged price manipulations. In February, Michigan Public reported Wayne, Washtenaw, Macomb and Monroe counties filed suits in New Jersey against manufacturers. The City of Detroit was debating suing as well.

A lawsuit brought by the state of Minnesota against Eli Lilly over insulin pricing resulted in a settlement in February, Reuters reported. Under that deal, patients who require insulin will see their out-of-pocket costs capped at $35 a month. Eli Lilly will also donate insulin to 15 health clinics across Minnesota.

“Self-funded healthcare providers, such as Eaton County and other municipalities are estimated to have been overcharged for insulin by 75%,” Toomey says. “An exact dollar amount is impossible to estimate because we’re not sure how far back any possible market manipulation might have gone.”

Toomey says his reason for supporting the move was plain.

“I want Eaton County to have every tool at its disposal to protect the taxpayer and itself from any alleged or possible marketplace manipulation from any company or industry,” he says. “It’s just plain wrong to take advantage of people in any context.

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