Johnson&Johnson amongst contact lens manufacturers
under AOA suspicion of price-fix charges
Johnson & Johnson is actually one of three companies that
were charged in a conspiracy with the American Optometric Association
(AOA). Lawyers from 32 states accused Johnson & Johnson, Bausch
& Lomb, and CIBA Vision Corp. 7 of working with the AOA to keep
contact lens prices high.
The charges against Johnson&Johnson and others accused the
companies of following suggestions of the AOA to refuse or dissuade
patients from getting their prescriptions. Johnson & Johnson
and their cohorts hoped to stop people from purchasing their contacts
from other providers.
Accusations against Johnson&Johnson and others also focused
on the goal of not providing lenses to mail order or discount marketers.
By limiting distribution, Johnson & Johnson and the other companies
allegedly hoped to keep the prices of their own lenses higher.
Johnson & Johnson and the other two companies settled, allowing
people who had purchased contacts from them in the past patients
to claim rebates and discounts on future orders. Johnson & Johnson
and the others also began to supply Internet and mail order retailers.
It is estimated that this may have caused the prices of Johnson
& Johnson and the other brands to drop as much as 20%. This
is obviously the outcome that Johnson & Johnson and the other
companies were trying to avoid, but were eventually forced to accept
due to the lawsuit.
While people may be upset by the efforts of Johnson & Johnson
and others to keep prices inflated, their argument on the importance
of proper prescriptions and distribution of the correct lenses is
still well worth considering. Regular visits to the eye doctor and
a current prescription should be vital whether you are purchasing
Johnson&Johnson products or any others through a discount provider.
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