The bill, which is the first state legislation of its kind, would change the burden for proving whether there’s price manipulation by enshrining in the law that such secret settlements are presumed to be illegal unless a drug company can prove otherwise. By doing so, drug companies would be forced to disclose more information about settlements with rivals. California Atty. Gen. Xavier Becerra, who worked with Wood on the bill, said that would sharply increase transparency surrounding the confidential agreements that are otherwise masked as patent disputes.

Source: Los Angeles Times February 21, 2019 00:11 UTC