12:01pm UK, Wednesday October 02, 2002

A group of US teachers are suing the world's second-largest pharmaceutical company - over the issue of patents.

SP GlaxoSmithKline

The teachers claim that GlaxoSmithKline improperly used patents to suppress generic versions of its top antibiotic Augmentin.

But the British-based company says the claims are groundless and it intends to defend the action vigorously.

The teachers - members of a teaching union - say GSK's actions in suppressing general competition are increasing the cost to consumers.

Shoppers would benefit if they were allowed to buy generic brands at lower cost, the NYSUT group said.

Prescription drugs

"The suit is part of NYSUT's three-pronged approach to attacking the high cost of prescription drugs in New York State", a spokesman said.

The union is lobbying politicians to pass laws to put a cap on prescription drug costs.

A US court quashed patents on GSK's $2bn-a-year antibiotic in May, paving the way for the launch of generic brands two months later.

However, GSK is appealing the decision, arguing that other patents should give it exclusive rights to sell the medicine up until 2018.