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Philadelphia’s transit system is taking on Gilead Sciences Inc. over its sky-high pricing of the breakthrough hepatitis C drug Sovaldi. The Southeastern Pennsylvania Transportation Authority alleged in a lawsuit filed Tuesday in federal court in Philadelphia that Gilead is engaging in “price gouging” by charging $1,000 a pill, or $84,000 for a standard 12-week treatment. (Pfeifer, 12/11)

The federal lawsuit from Philadelphia's public transit agency appears to be the first directly challenging the price of Sovaldi, which costs $84,000 overall during a normal 12-week course of treatment in the United States. Since Gilead Sciences launched Sovaldi last year, the drug has shattered sales records and set off a contentious debate about how to make treatments affordable and accessible while also encouraging drugmakers to invest in new drug development. (Millman, 12/11)

A closely watched trial that many hoped would help clarify a contentious battle over access to generic drugs instead ended in disappointment last week. In fact, the outcome only seems to have underscored the difficulty in sorting out so-called pay-to-delay deals, a topic that has embroiled the pharmaceutical industry, regulators and the courts for years. (Silverman, 12/11)