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Eli Lilly Working to Regain Weight-Loss Market After Suing Medical Spas and Online Vendors Over Copycats

Wallstreet InsightMonday, Oct 21, 2024 5:42 am ET
1min read

Eli Lilly announced on Monday that it has filed lawsuits against three medical spas and online vendors for selling products that claim to contain tirzepatide, the major ingredient in its popular weight-loss drug Zepbound. The products in question include dissolvable tablets.

The lawsuits target Pivotal Peptides, MangoRx, and Genesis Lifestyle Medicine of Nevada. These are the first lawsuits related to counterfeit tirzepatide products since the U.S. Food and Drug Administration (FDA) removed the drug from its list of medicines in short supply earlier this month.

Lilly emphasized that the timing of these lawsuits was not influenced by the drug's removal from the shortage list and that the legal actions could have been initiated regardless of the supply status.

Pivotal Peptides claims to offer research-grade tirzepatide, while MangoRx sells a compounded version online. Genesis Lifestyle Medicine is accused of selling and administering compounded versions of the drug at its medical spa.

According to the lawsuits, Pivotal Peptides is accused of selling tirzepatide products directly to patients without a prescription, despite marketing the drugs for research purposes.

The lawsuits were filed in federal and state courts in Indiana, Texas, and Washington. Each defendant is accused of false advertising and promotion. Lilly also sent a cease and desist letter to Pivotal Peptides before filing the lawsuit.

The Indianapolis-based pharmaceutical company has previously sued more than two dozen medical spas, wellness centers, and compounding pharmacies for selling products that claim to contain tirzepatide. Tirzepatide is also approved for treating type 2 diabetes under the brand name Mounjaro.

In the latest filings, Lilly alleges that MangoRx was selling an oral version of tirzepatide branded as Trim, despite the absence of any studies proving that this formulation is safe and effective. The FDA has only approved tirzepatide as an injectable drug.

After receiving a cease and desist letter from Lilly, Pivotal Peptides reportedly changed its website to indicate it was under maintenance and shifted its operations to sell via email, social media, and word of mouth, according to the lawsuit.

Lilly also claims that Genesis was selling compounded tirzepatide with vitamin B12, stating that such combinations are untested, unproven, and expose consumers to an unjustifiable risk of harm.

Eli Lilly is seeking court orders to bar the vendors from selling their tirzepatide products and is also seeking unspecified monetary damages.

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