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On June 17, 2013, the U.S. Supreme Court overturned the Eleventh Circuit’s decision that affirmed the dismissal of a “reverse payment” antitrust claim in FTC v. Actavis (formerly FTC v. Watson Pharmaceuticals when decided by the Eleventh Circuit). In a decision by Justice Stephen Breyer, the Supreme Court held that reverse payment settlements are subject to the rule of reason. In analyzing the reasonableness of reverse payment settlements, the Supreme Court focused on the size of settlement payments, inferring an anticompetitive intent where the size of the payment did not appear to reflect “traditional settlement considerations,” such as litigation costs. https://www.cadwalader.com/resources/clients-friends-memos/supreme-court-decision-compels-brand-name-and-generic-drug-manufacturers-alike-to-rethink-hatch-waxman-litigation-strategies