The U.S. Federal Trade Commission on Thursday asked a Pennsylvania federal court to dismiss a lawsuit by Watson Laboratories and Allergan challenging its authority to bring lawsuits over past behavior, saying the companies should raise the objection in an ongoing pay-for-delay case in California.

The FTC has sued Watson Laboratories Inc. and former parent Allergan Finance LLC in a California federal court alleging the companies delayed generic competition for pain relief patch Lidoderm, and the companies should move to dismiss that case if they believe the agency has stepped outside of its bounds, the FTC said.

Instead, Watson and Allergan have launched an attack in Pennsylvania seeking a declaratory judgment that the FTC cannot sue them in federal court, the agency said. However, that relief is blocked by the Administrative Procedure Act, and the case should be dismissed, the FTC said.

Allergan is represented by Peter J. Carney, David R. Courchaine, Youngeun Kim, Jack E. Pace III and Bryan D. Gant of White & Case LLP, and Edward D. Rogers and Matthew I. Vahey of Ballard Spahr LLP.
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