Zepbound, a injectable drug on a gradient background of dark purple and green — biotech coverage from STAT
Illustration: STAT; Source: Eli Lilly/AP

A trade group representing large compounding pharmacies has sued the U.S. Food and Drug Administration for a “reckless and arbitrary” decision to remove a widely prescribed Eli Lilly drug for combating diabetes and obesity from an official shortages list.

The Outsourcing Facilities Association argued that a shortage of the drug, known as tirzepatide, actually still exists and the agency action was a coup for the company that came at the expense of the public. Moreover, the trade group maintained the FDA move was “unlawful,” because it failed to follow so-called rule-making procedures and provide proper notice of its plans.

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The lawsuit follows an FDA announcement last week that Lilly determined its manufacturing capacity can meet “present and projected” national demand after a sustained shortage of the drug, which Lilly sells under the brand name Mounjaro for treating diabetes and as Zepbound for weight loss. The FDA noted, though, that a rival drug from Novo Nordisk called Wegovy remains on the shortages list.

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