Novo Nordisk files lawsuit against Eli Lilly for 'misleading' weight-loss drug ads

(Sharecast News) - Danish pharma group Novo Nordisk has launched legal action against rival Eli Lilly & Co, accusing it of using "misleading" and "deceptive" advertising for its weight-loss drugs. Novo Nordisk said it has filed a suit in the US District Court in New Jersey for "multiple violations of federal and state false advertising and unfair competition laws, including under the Lanham Act".

Specifically, the lawsuit relates to Lilly's nationwide direct-to-consumer advertising, which directly compares Lilly's Zepbound (tirzepatide) with Novo's Wegovy (semaglutide), and Lilly's Mounjaro (tirzepatide) with Novo's Ozempic (semaglutide).

Along with allegedly omitting relevant information about Novo's drugs, the company claims the ads are misleading because there is no head-to-head clinical trial comparing the medicines.

Novo said it had previously launched a formal cease-and-desist request, but Lilly refused to pull the ads.

"As new and more effective treatment options become available, people deserve accurate information that reflects the latest scientific evidence and helps them make informed care decisions," said John F. Kuckelman, Novo's senior vice president and group general counsel.

"Healthcare companies have a responsibility to keep their public claims accurate and current - ineffective, fine-print disclaimers do not fix the misleading impression created by major national campaigns."

Lilly shares were up 1.4% at $1,162.58 in New York despite the announcement, while Copenhagen-listed Novo fell 1.2% to DKK324.05.