Novo Nordisk A/S (NYSE:NVO) is accused of unlawfully extending its monopoly over its diabetes drug Victoza through a multiyear anticompetitive scheme designed to delay generic competition.

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The class action complaint, filed in the U.S. District Court, Eastern District of New York by JM Smith Corporation (d/b/a Smith Drug Company), argued that the strategy allowed Novo to preserve billions in profits while shifting patients to its newer GLP-1 drug, Ozempic, before generics could enter the market.

Victoza, a liraglutide injection pen manufactured and sold by Novo Nordisk, is used to improve glycemic control in patients aged 10 and older with Type 2 diabetes and to reduce cardiovascular risks in certain patients.

Thomson Reuters published a copy of the lawsuit online last Friday. In addition, numerous law firms have published press releases seeking clients who lost money.

The lawsuit states that Victoza generated more than $5 billion in U.S. sales in 2018 ...