Vanda Pharmaceuticals, Inc. v. FDA
CourtCourt of Appeals for the D.C. Circuit
Date FiledAugust 18, 2026
Docket25-5041
StatusPublished
📰 News Coverage: Read the LAWS.com news report on this case
Full Opinion
United States Court of Appeals
FOR THE DISTRICT OF COLUMBIA CIRCUIT
Argued March 12, 2026 Decided August 18, 2026
No. 25-5041
VANDA PHARMACEUTICALS, INC.,
APPELLANT
v.
UNITED STATES FOOD AND DRUG ADMINISTRATION, ET AL.,
APPELLEES
Appeal from the United States District Court
for the District of Columbia
(No. 1:23-cv-00280)
Paul W. Hughes III argued the cause for appellant. With
him on the briefs were Sarah Hogarth and Connor Suozzo.
David L. Peters, Attorney, U.S. Department of Justice,
argued the cause for defendants-appellees. With him on the
brief were Brett A. Shumate, Assistant Attorney General, and
Daniel Tenny, Attorney.
Brian T. Burgess argued the cause for intervenor-appellee
Teva Pharmaceuticals, USA, Inc. With him on the brief was
Isabel M. Marin. Emmett Witkovsky-Eldred entered an
appearance.
2
Before: MILLETT and PAN, Circuit Judges, and ROGERS,
Senior Circuit Judge.
Opinion for the Court filed by Circuit Judge MILLETT.
MILLETT, Circuit Judge: Before a generic version of a
name-brand drug can appear on pharmacy shelves, the Food
and Drug Administration (“FDA”) must approve both the drug
and its labeling. That labeling includes not just the basic
information and graphics on the container, but also all of the
accompanying instructions, warnings, and in-depth
information about the drug.
As part of that approval process, the generic manufacturer
must show that its labeling is “the same as” the name-brand
drug’s. 21 U.S.C. § 355(j)(2)(A)(v). This case centers on an
exception to that sameness requirement for “changes
required * * * because the [generic] drug and the [name-brand]
drug are produced or distributed by different manufacturers[.]”
Id.
Vanda Pharmaceuticals, Inc., markets a drug with the
established (generic) name tasimelteon under the brand name
Hetlioz. Tasimelteon treats Non-24-Hour-Sleep-Wake
Disorder. That condition predominantly affects vision-
impaired individuals. The FDA approved labeling for Hetlioz
that includes the brand name “Hetlioz” and the dosage “20 mg”
embossed in braille on the bottle, as well as accompanying
instructions in roman script to pharmacists: “Do not cover
Braille” and “Dispense in original container.” J.A. 242.
A competitor, Teva Pharmaceuticals, USA, Inc., applied
to market generic tasimelteon with labeling that omits both the
braille lettering and the associated pharmacy instructions. The
FDA approved Teva’s generic and its labeling.
3
Shortly thereafter, Vanda filed both a citizen petition with
the FDA and this lawsuit arguing that the FDA’s approval of
Teva’s labeling was contrary to law and arbitrary and
capricious.
The district court granted the FDA’s and intervenor Teva’s
motions for summary judgment on the ground that removal of
the braille and its accompanying instructions fell into the
exception for changes “required” because of a change in
manufacturers. The court also rejected Vanda’s arbitrary and
capricious claims.
We affirm in part and vacate in part. We vacate the grant
of summary judgment only as to the FDA’s approval, in
reliance on the different-manufacturer exception, of a label
without “20 mg” in braille and without the accompanying
pharmacy instructions. We remand to the district court with
instructions to remand to the agency without vacatur to decide
whether the label nonetheless satisfies the baseline statutory
requirement that Teva’s label be “the same as” the Hetlioz
label, which would make the inclusion of any braille script and
the accompanying pharmacy instructions unnecessary. We
otherwise affirm the grant of summary judgment in favor of the
FDA and Teva.
I
A
1
Under the Food, Drug, and Cosmetic Act (“FDCA”), the
Secretary of Health and Human Services must approve all
drugs sold in the United States. 21 U.S.C. § 355(a). To bring
a novel drug to market, a manufacturer must submit to the FDA
4
a new drug application (“NDA”) that contains, among other
things, a full statement of the drug’s composition, studies
supporting the safety and efficacy of the drug, and “specimens
of the labeling proposed to be used for such drug[.]” Id.
§ 355(b). The FDCA’s definition of labeling sweeps broadly,
encompassing “all labels and other written, printed, or graphic
matter * * * upon any article or any of its containers or
wrappers, or * * * accompanying such article.” Id. § 321(m).
The FDCA sets minimum requirements for the content and
format of labeling, backed up by criminal penalties. See 21
U.S.C. §§ 331(a)–(c), 333, 352. A drug is deemed
“misbranded” if:
any word, statement, or other information required by
or under authority of this chapter to appear on the
label or labeling is not prominently placed thereon
with such conspicuousness * * * and in such terms as
to render it likely to be read and understood by the
ordinary individual under customary conditions of
purchase and use.
Id. § 352(c). Under FDA regulations, a “word, statement, or
other information” can lack the required “conspicuousness”
due to “[s]mallness or style of type in which such word,
statement, or information appears, insufficient background
contrast, obscuring designs or vignettes, or crowding with other
written, printed, or graphic matter.” 21 C.F.R. § 201.15(a)(6).
One of the words that must appear on every drug’s labeling
is the drug’s “established name[,]” 21 U.S.C. § 352(e)(1)(A),
“which is a nonproprietary name assigned to the drug by the
FDA[,]” Novartis Pharms. Corp. v. Leavitt, 435 F.3d 344, 346
5
(D.C. Cir. 2006).1 Tasimelteon is the established name the
FDA assigned to the drug at issue in this case. The established
name must be printed “prominently and in type at least half as
large as that used thereon for any proprietary name or
designation for such drug[.]” 21 U.S.C. § 352(e)(1)(B).
Congress imposed this requirement to “bring to the attention of
doctors and patients the fact that many of the drugs sold under
familiar trade names are actually identical to drugs sold under
their ‘established’ or less familiar trade names at significantly
lower prices.” Abbott Laboratories v. Gardner, 387 U.S. 136,
138 (1967).
FDA regulations fill in additional details. The established
name must “accompany [the] proprietary name or designation
each time it is featured on the label or in the labeling for the
drug[.]” 21 C.F.R. § 201.10(g)(1). Also, the established name
must have “a prominence commensurate with the prominence
with which such proprietary name or designation appears,
taking into account all pertinent factors, including typography,
layout, contrast, and other printing features.” Id.
§ 201.10(g)(2).
A drug that does not satisfy these requirements, either at
the NDA stage or post-approval, may not be sold in interstate
commerce. 21 U.S.C. § 331(a)–(c).
2
The Drug Price Competition and Patent Term Restoration
Act of 1984, Pub. L. No. 98-417, 98 Stat. 1585 (codified at 21
1
Because the established name in this case is the same as the
generic name, this opinion uses the phrases “established name” and
“generic name” interchangeably. The established name in this case
is also the same as the active ingredient.
6
U.S.C. § 355), commonly known as the “Hatch–Waxman Act,”
amended the FDCA to provide a shorter route to market for
generic drugs that are sufficiently similar to the name-brand
drug to ride its regulatory coattails, id. § 101, 98 Stat. at 1585–
1592. After a period of brand exclusivity in the marketplace,
generic manufacturers can file an abbreviated new drug
application (“ANDA”) that specifies the name-brand drug,
which the statute calls the “listed drug,” and provides evidence
of similarity to the listed drug across all relevant dimensions.
See 21 U.S.C. § 355(j)(2)(A). Among other things, the generic
drug’s route of administration, dosage form, and strength must
be “the same as those of the listed drug[,]” id.
§ 355(j)(2)(A)(iii), and the two drugs must contain the same
active ingredients, id. § 355(j)(2)(A)(ii). The generic drug
must also be “bioequivalent” to the listed drug, id.
§ 355(j)(2)(A)(iv), meaning that “the rate and extent of
absorption of the drug do not show a significant difference
from the rate and extent of absorption of the listed drug[,]” id.
§ 355(j)(8)(B)(i).
As relevant here, the Act’s similarity requirements extend
to the labeling that accompanies the drug. The FDA cannot
approve an ANDA unless it contains:
information to show that the labeling proposed for the
new drug is the same as the labeling approved for the
listed drug * * * except for changes required * * *
because the new drug and the listed drug are produced
or distributed by different manufacturers.
7
21 U.S.C. § 355(j)(2)(A)(v).2 This opinion refers to that
provision as a whole as the “same-labeling provision,” and to
the exception for “changes required * * * because the new drug
and the listed drug are produced or distributed by different
manufacturers” as the “different-manufacturer exception.”
Separately, the ANDA must contain “information to show
that the conditions of use prescribed, recommended, or
suggested in the labeling proposed for the new drug have been
previously approved for” the listed drug. 21 U.S.C.
§ 355(j)(2)(A)(i).
B
1
Vanda Pharmaceuticals, Inc., manufactures the drug
tasimelteon, which it markets under the brand name Hetlioz.
Thirteen years ago, Vanda submitted an NDA for Hetlioz, for
use in treating Non-24-Hour-Sleep-Wake Disorder.
Individuals suffering from that disorder cannot align their
circadian rhythm with a 24-hour day, often leading to insomnia
and excessive daytime sleepiness. The disorder “is most
prevalent in patients who are totally blind.” FDA Resp. to
Citizen Pet. at 3, Dkt. Nos. FDA-2023-P-0313, FDA-2023-P-
0344 (July 24, 2023).
Vanda’s proposed labeling for its tasimelteon bottle
included, in roman script, the brand name (“Hetlioz”), the
established name (“tasimelteon”), the unit dosage (“20 mg”),
2
We have omitted the first exception, which is for generic
drugs granted permission by the Secretary to contain additional
modifications under 21 U.S.C. § 355(j)(2)(C). That provision has no
relevance to this appeal.
8
and instructions for use and storage. Two of those elements—
the brand name and the dosage—would also be embossed in
braille lettering on the bottle.
The FDA did not—and does not—require manufacturers
to place braille on labeling. So the agency evaluated only
whether Vanda’s proposal would compromise the label’s
accuracy and comprehensibility to patients. The FDA
recommended that Vanda conduct a label comprehension study
to evaluate whether “the intended patient population can
understand the information in braille presented on the label.”
FDA DNP Letter at 2, Vanda Citizen Pet., Dkt. No. FDA-2023-
P-0313 (“Citizen Pet.”) Ex. 9 (July 29, 2013). Because the
braille “may be helpful” to patients, the FDA also
recommended adding to the label two instructions to the
pharmacist: “Dispense in original container” and “Do not
cover the Braille.” FDA Label Review at 2, Citizen Pet. Ex. 11
(Sept. 26, 2013).
Vanda added those instructions to the label and completed
a study of 22 braille readers to determine whether the label with
braille would be comprehensible to patients. See FDA Resp.
to Citizen Pet. at 10. The study did not address any other aspect
of patient safety. See id. Of that group, seventeen correctly
interpreted the second line as “20 mg” and all 22 identified at
least five out of the seven letters in “Hetlioz[.]” FDA
Comprehension Study Review at 2, Citizen Pet. Ex. 15 (Dec.
31, 2013); Vanda Opening Br. 12 (reciting the results of the
study). While not requiring the use of braille, the FDA deemed
the results of the study “acceptable” and approved the addition
of braille to the label. FDA Comprehension Study Review at
3.
Hetlioz entered the market in 2014. Its approved label
bears the brand name and the dosage in braille, the established
9
name and dosage in roman script, and instructions to
pharmacists in roman script: “Dispense in original container”
and “Do not cover Braille.” J.A. 242 (Hetlioz label).
2
In 2018, three generic manufacturers submitted ANDAs
seeking approval to sell tasimelteon: Teva Pharmaceuticals,
USA, Inc., MSN Pharmaceuticals Inc., and Apotex Corp.
MSN’s proposed labeling featured the generic name,
“tasimelteon,” and the dosage, “20 mg,” embossed in braille.
Teva and Apotex submitted labeling proposals without any
braille lettering.
The FDA determined that “[b]raille is not required for the
generics of Hetlioz.” J.A. 255 (formatting modified). The
agency explained that the inclusion of braille was “proposed by
[Vanda] as ‘nice to have’ information,” but was not a
“condition of approval for” Hetlioz. J.A. 255.
The FDA approved the Apotex and Teva generics in
December 2022. See FDA Resp. to Citizen Pet. at 3 n. 29. In
keeping with their initial proposals, Teva and Apotex omitted
both the braille itself and the accompanying pharmacy
instructions from their labels. See id. at 4. MSN’s generic,
which the FDA approved in January 2023, included the braille
and the related instructions. See J.A. 208; FDA Resp. to
Citizen Pet. at 3 n. 29.
3
Shortly after the approvals, Vanda filed a citizen petition
with the FDA demanding that the agency “revoke the
approval” of Teva’s ANDA and “order a recall of Teva’s
product.” Citizen Pet. at 1. Vanda argued that the FDA’s
10
approval of labels without braille and the associated dispensing
instructions violated the FDCA’s “same labeling” and
“conditions of use” requirements and created “severe and
immediate risks to public safety.” Citizen Pet. at 2 (formatting
modified).
Days later, Vanda sued the FDA, the Department of Health
and Human Services and its Secretary, and the FDA
Commissioner (collectively, “FDA”) in the United States
District Court for the District of Columbia. The complaint
alleges that the FDA’s approval of Teva’s ANDA violated the
Administrative Procedure Act, 5 U.S.C. § 706(2), as both
contrary to law and arbitrary and capricious. Teva intervened
as a defendant.3
While the case was pending in district court, the FDA
denied Vanda’s citizen petition. The FDA determined that the
removal of braille was a “permissible difference due to [a]
difference in manufacturer.” FDA Resp. to Citizen Pet. at 17.
As a baseline, because the Hetlioz label did not contain the
generic name—tasimelteon—in braille, “[a] difference in
labeling related to braille was * * * inevitable for any generic
tasimelteon product[.]” Id. at 9 (emphasis added). On top of
that, the FDA found that “the inclusion of the strength (or a
product name) in braille and the associated statements [to the
3
Vanda unsuccessfully sued Teva and Apotex in a different
circuit, claiming that their tasimelteon products infringed the Hetlioz
patents. See Vanda Pharms., Inc. v. Teva Pharms. USA, Inc., No.
18-cv-651, 2022 WL 17593282, at *28 (D. Del. Dec. 13,
2022), aff’d, No. 2023-1247, 2023 WL 3335538 (Fed. Cir. May 10,
2023) (Federal Circuit affirming on the ground that Vanda’s patent
claims were invalid for obviousness). Vanda also has challenged the
FDA’s approval of MSN’s tasimelteon product. See Vanda Pharms.,
Inc. v. FDA, No. 23-cv-2812, 2024 WL 4133623, at *1 (D.D.C. Sept.
10, 2024).
11
pharmacy were not] necessary for the safe and effective use of
the drug product.” Id. The FDA explained that Vanda had
“voluntarily proposed” the braille labeling, without providing
any evidence that safety or efficacy concerns required its
inclusion. Id. And the FDA’s own post-approval monitoring
revealed no “adverse event reports or medication error reports
related to the exclusion of braille or the braille-related
statements” on the two generic labels. Id. at 11.
Following that decision, Vanda added to its complaint
claims that the FDA’s denial of the citizen petition was
arbitrary and capricious and contrary to law. The parties then
cross-moved for summary judgment.
The district court denied Vanda’s motion and granted the
FDA’s and Teva’s cross-motions for summary judgment.
Vanda Pharms., Inc. v. FDA, 766 F. Supp. 3d 85, 90 (D.D.C.
2025).
To start, the district court held that the FDA’s approval of
Teva’s ANDA did not violate the same-labeling provision,
reasoning that the omission of braille and its accompanying
instructions fell within the different-manufacturer exception.
Vanda Pharms., 766 F. Supp. 3d at 95 (citing 21 U.S.C.
§ 355(j)(2)(A)(v)). Drawing on the FDCA’s “text, structure,
history, and purpose, along with relevant agency and judicial
precedent[,]” 766 F. Supp. 3d at 102, the court read the
different-manufacturer exception “to allow the FDA to
consider generic proposals for safe changes to voluntary label
features[,]” id. at 97 (emphases added); see also id. at 98
(finding persuasive “[t]he FDA’s repeated approvals of
comparable changes in generic label ANDAs”) (citing
Skidmore v. Swift & Co., 323 U.S. 134, 140 (1944)). On that
basis, the district court held that Teva’s removal of braille
comported with the same-labeling provision since the use of
12
braille was “voluntary[ and] not required by the FDA for safety
or efficacy reasons.” Vanda Pharms., 766 F. Supp. 3d at 97.
Next, the district court rejected Vanda’s argument that the
statement “Dispense in original container” was a condition of
use that Teva could not remove under 21 U.S.C.
§ 355(j)(2)(A)(i). Vanda Pharms., 766 F. Supp. 3d at 103. The
plain text of the statute, the district court reasoned, indicates
that “‘conditions of use’ encompasses the ‘method or duration
of administration or application’ of a drug[,]” not “instructions
to pharmacies for delivering the drug.” Id. at 102 (citation
omitted). Because “instructions for dispensing a drug are not
the same as directions for actually using it,” the FDA’s
approval of a label without the text “Dispense in original
container” did not violate the statute. Id. at 103.
Finally, the district court found no merit to Vanda’s
arbitrary and capricious challenges. See Vanda Pharms., 766
F. Supp. 3d at 103–105. The court held that the FDA had not
unlawfully changed its position, see id. at 104, and had
“reasonably considered the relevant [safety] issues[,]” id. at
105 (quotation marks omitted).
II
The district court had jurisdiction under 28 U.S.C. § 1331,
and this court has jurisdiction under 28 U.S.C. § 1291. We
review the district court’s grant of summary judgment de novo.
New Mexico Cattle Growers Ass’n v. Fish & Wildlife Serv., 148
F.4th 755, 764 (D.C. Cir. 2025).
Vanda principally challenges the FDA’s approval of
Teva’s braille-free labeling as contrary to the FDCA’s same-
labeling provision.
13
The parties’ disagreement centers on whether the omission
of braille falls within the statute’s exception for “changes
required * * * because the new drug and the listed drug are
produced or distributed by different manufacturers[.]” 21
U.S.C. § 355(j)(2)(A)(v). Vanda insists that this exception
permits only changes that are necessary—due, for instance, to
a permissible modification to the underlying drug. The FDA
and Teva argue that the exception embraces any change to the
label involving aspects voluntarily added by the name-brand
manufacturer that do not jeopardize safety or efficacy.
We hold that the statute forecloses the FDA and Teva’s
expansive reading of the different-manufacturer exception.
Perhaps the statute’s baseline “sameness” requirement permits
some safety-neutral variation across labels like the inclusion or
omission of braille script. But as a matter of statutory text, a
labeling modification can fall into the different-manufacturer
exception only when that change is “required” by the change
in manufacturers. 21 U.S.C. § 355(j)(2)(A)(v).
Within that framework, we affirm in part and vacate in part
the district court’s judgment. Because generic manufacturers
cannot feature a trademarked brand name on their labeling,
Teva was “required” to omit “Hetlioz” in both roman font and
braille from its label. Having removed the brand name, Teva
was not required to add the established name tasimelteon in
braille because it is not in braille on Hetlioz’s label. But
because neither the FDA nor Teva points to any factor that
might have necessitated the removal of either tasimelteon’s
strength—“20 mg”—in braille or the accompanying
dispensing instructions “Do not cover Braille” and “Dispense
in original container” from the label due to a change in
manufacturer, the FDA’s approval of those portions of Teva’s
label based just on the different-manufacturer exception was
contrary to law.
14
A
This appeal turns on a narrow question of statutory
interpretation: whether the removal of braille and the
associated instructions to the pharmacist were “required * * *
because the new drug and the listed drug are produced or
distributed by different manufacturers[.]” 21 U.S.C.
§ 355(j)(2)(A)(v).
1
In interpreting the scope of the different-manufacturer
exception, “[w]e begin with the text.” Smith v. Berryhill, 139
S. Ct. 1765, 1774 (2019). Recall that the same-labeling
provision imposes a baseline rule: “[T]he labeling proposed
for the [generic] drug [must be] the same as the labeling
approved for the listed drug[.]” 21 U.S.C. § 355(j)(2)(A)(v).
The provision then establishes two exceptions to that rule,
only one of which is relevant here—the different-manufacturer
exception. That exception applies to “changes required * * *
because the new drug and the listed drug are produced or
distributed by different manufacturers.” 21 U.S.C.
§ 355(j)(2)(A)(v).
“[T]he plain meaning of the word ‘required’ is the opposite
of that of the word ‘optional.’” Intel Corp. v. VIA Techs., Inc.,
319 F.3d 1357, 1362 (Fed. Cir. 2003); see also In re Boyd, 213
F. 774, 775–776 (2d Cir. 1914) (“The words ‘require’ and
‘permit’ express different ideas; in the ordinary use of the
English language the one does not include the other.”).
“Require” means “to demand as necessary or essential” or
“make indispensable.” Require, WEBSTER’S THIRD NEW
INTERNATIONAL DICTIONARY 1929 (1986); Require,
15
WEBSTER’S THIRD NEW INTERNATIONAL DICTIONARY 1929
(1981) (same); see also Require, BLACK’S LAW DICTIONARY
(5th ed. 1979) (“To direct, order, demand, instruct, command,
claim, compel, request, need, exact.”); Required, AMERICAN
HERITAGE DICTIONARY OF THE ENGLISH LANGUAGE 1105
(1981) (“Needed; essential.”).
Simply put, “‘[r]equire’ conveys a sense of necessity[.]”
Hall v. Trivest Partners, L.P., 178 F.4th 986, 991 (6th Cir.
2026); see also Carey v. Donohue, 240 U.S. 430, 435–438
(1916) (reading statute that applied when a “recording * * * is
required” to mean “those cases in which recording was
necessary”) (emphasis added); Mississippi River Fuel Corp. v.
Slayton, 359 F.2d 106, 119 (8th Cir. 1966) (“‘Required’
implies something mandatory, not something permitted by
agreement.”), rev’d on other grounds, Levin v. Mississippi
River Fuel Corp., 386 U.S. 162 (1967); cf. Public Citizen v.
Nuclear Regul. Comm’n, 901 F.2d 147, 155 (D.C. Cir. 1990)
(“[I]n common parlance ‘requirement’ means something
compelled, not merely suggested.”).
Reading “required” as “mandatory” ensures that the
different-manufacturer exception continues to operate “as just
that—an exception[.]” EPA v. Calumet Shreveport Refin.,
L.L.C., 145 S. Ct. 1735, 1751 (2025); see id. (reading statutory
exception to “incorporate[] the more demanding, ‘core[,]’
understanding of ‘based on[]’” because “the function of
the * * * exception [is] just that—an exception”). When a
clause supplies an exception to a baseline rule, we must read
that clause “narrowly in order to preserve the primary operation
of the provision.” Garland v. Aleman Gonzalez, 142 S. Ct.
2057, 2068 n.6 (2022) (quoting Maracich v. Spears, 570 U.S.
48, 60 (2013)).
16
Hewing to the natural meaning of “required” allows those
common changes to a generic’s labeling that the misbranding
law, intellectual property rules, or other legal provisions
necessitate. For example, when a generic manufacturer
changes how it formulates the drug—by, say, including a
different inactive ingredient, 21 U.S.C. § 355(j)(4)(H)—the
FDCA’s misbranding provisions will often require
corresponding changes to the labeling, see id. § 352(a)(1)
(deeming a drug “misbranded * * * [i]f its labeling is false or
misleading in any particular”); Zeneca, Inc. v. Shalala, 213
F.3d 161, 169 (4th Cir. 2000) (“Because a difference in
preservative is a permitted variation in formulation, it is
reasonable for the FDA to interpret its own regulation to allow
corresponding differences in labeling to identify the
preservative and provide any appropriate warnings.”). A
generic also may need to omit certain indications to avoid
infringing the name-brand manufacturer’s patents. See
Novartis Pharms. Corp. v. Kennedy, 156 F.4th 626, 630 (D.C.
Cir. 2025) (“[A]ll parties agree[d] that the changes” to the label
“were required to avoid infringement of Novartis’s patents.”).
And other intellectual property requirements, like trademark
law, may potentially force a generic to change certain words or
formatting on its label. Cf. Inwood Laboratories, Inc. v. Ives
Laboratories, Inc., 456 U.S. 844, 853–855 (1982) (recognizing
that drug manufacturers may be liable in some circumstances
for infringing registered trademarks affixed to generic-drug
containers).
2
Applying the plain meaning of the different-manufacturer
exception to the facts of this case, we hold that omission of the
braille “Hetlioz” was required by the change in manufacturers.
We also reject Vanda’s argument that Teva was required to
include the established name and active ingredient
17
“tasimelteon” in braille, because it is not in braille on the
Hetlioz label. The different-manufacturer exception did not,
however, permit Teva to omit “20 mg” in braille or the
instructions “Do not cover Braille” and “Dispense in original
container” from its label.
a
As all agree, Teva was required to omit the brand name
“Hetlioz” from its label in both its roman-script and braille
forms. See Vanda Reply Br. 19 (“[C]hanging Hetlioz to
tasimelteon is required for intellectual property reasons[.]”);
see also FDA Resp. to Citizen Pet. at 8 (“The petitioner has not
explained how, under its proposed interpretation, the generic
drugs would be expected to comply with the same labeling
requirement when the [proprietary name, Hetlioz] in braille
(and Roman script) * * * is a name that does not appear on the
generic’s container labeling at all[.]”).
Vanda insists only that, having removed the braille
“Hetlioz,” Teva was then required to substitute the established
(generic) name, tasimelteon, in braille. Vanda Reply Br. 19.
Vanda presses that argument even though the established name
tasimelteon appears only in roman script, and not in braille, on
its own label. Requiring that Teva’s label include the
established name in braille when it is not on the Hetlioz label
would dictate difference, not sameness.
Yet Vanda does not develop any argument or supply any
authority as to why the sameness requirement dictates such
divergence. Nor does Vanda explain why discrepant treatment
of the established name is “required * * * because” Teva is a
different manufacturer. 21 U.S.C. § 355(j)(2)(A)(v). Vanda
cites no statutory provision, regulation, or case that requires a
generic manufacturer to display the established name in a
18
different manner than it appears on the name-brand label—at
least when, as here, neither patient safety nor label-
comprehensibility requires the change.
If anything, Vanda may have uncovered a potential defect
in its own label. The FDCA requires that the drug’s
“established name” be printed “prominently and in type at least
half as large as that used thereon for any proprietary name or
designation for such drug[.]” 21 U.S.C. § 352(e)(1)(B). Under
FDA regulations, the established name must accompany the
proprietary label “each time it is featured on the label * * * for
the drug[,]” with “a prominence commensurate with the
prominence with which such proprietary name or designation
appears, taking into account all pertinent factors, including
typography, layout, contrast, and other printing features.” 21
C.F.R. § 201.10(g)(1)–(2) (emphasis added).
Yet Vanda placed only its own brand name Hetlioz—not
the established name tasimelteon—in braille on its label. And
Vanda’s briefing leaves us empty-handed as to any legal basis
for mandating that Teva display the established name in a
different form or typography than the name-brand label does.
To be sure, Vanda touts the safety benefits of its use of braille.
See, e.g., Vanda Opening Br. 13. But the FDA never required
braille on safety grounds. See FDA Resp. to Citizen Pet. at 10.
And even if it had, it might well be unlawful for Teva “to attach
a safer label to [its] generic” by adding braille wording that
Vanda omitted. PLIVA, Inc. v. Mensing, 564 U.S. 604, 618
(2011).
In sum, all agree that, as a generic manufacturer, Teva was
required to omit the name brand “Hetlioz” from its label in both
roman and braille script. But Vanda has failed to present any
sound argument as to how the statute or caselaw mandates that
Teva put the established name and active ingredient
19
tasimelteon in braille when it does not so appear on the Hetlioz
label.
b
i
Based on the arguments before us, the different-
manufacturer exception does not permit the removal of the
braille “20 mg” from Teva’s label.
Neither Teva nor the FDA has argued that removing these
features was necessary due, for instance, to intellectual
property requirements or to avoid misbranding. Instead, they
attempt to rewrite the statute by replacing “required” with
“optional and safe.” See FDA Br. 38 (arguing that the
different-manufacturer exception permits “[c]hanges to
voluntarily adopted forms of presenting information that will
not diminish or otherwise materially affect the drug’s safety or
efficacy”) (quotation marks omitted); Teva Br. 30 (“[A]
generic manufacturer’s voluntary choices about labeling
presentation (rather than content) also fit within the different-
manufacturer exception.”). That argument defies the statutory
text.
To support their reading, the FDA and Teva point to a
definition of “require” as “suitable or appropriate in a particular
case[.]” FDA Br. 24 (quoting Require, WEBSTER’S THIRD NEW
INTERNATIONAL DICTIONARY 1929 (1986)); Teva Br. 28
(same). But the FDA and Teva do not meet their own mark.
That definition reads, in full: “to call for as suitable or
appropriate in a particular case: need for some end or
purpose[.]” Require, WEBSTER’S THIRD NEW INTERNATIONAL
DICTIONARY 1929 (1986) (emphasis added). So even under the
FDA and Teva’s preferred definition, a change must be needed,
20
not just desired. And the FDA and Teva have not identified
any need to remove the “20 mg” in braille.
For the first time at oral argument, Teva pointed the court
to National Railroad Passenger Corp. v. Boston & Maine
Corp., 503 U.S. 407 (1992). See Oral Arg. Tr. 173:20–174:23.
That case is of no help to Teva. In National Railroad, the
Supreme Court considered a very different statutory scheme
that granted Amtrak condemnation authority over “property
* * * owned by the railroad and required for intercity rail
passenger service.” 503 U.S. at 410–411 (quoting 45 U.S.C.
§ 562(d)(1) (repealed 1994)). At step two of Chevron, U.S.A.,
Inc. v. Natural Resources Defense Council, Inc., 467 U.S. 837
(1984), the Court deferred to the Interstate Commerce
Commission’s reading of “required” as “useful or
appropriate[,]” National R.R., 503 U.S. at 418–419.
So all National Railroad decided was that the agency’s
reading of the statutory text was not unreasonable. Our task is
different—we must discern what Congress meant using
traditional tools of statutory construction. See Loper Bright
Enters. v. Raimondo, 144 S. Ct. 2244, 2262, 2266 (2024).
In addition, all statutory language must be read in context,
and the relevant phrase here is “changes required * * *
because” there is a new manufacturer. 21 U.S.C.
§ 355(j)(2)(A)(v). Unlike in National Railroad, “required”
appears in a linguistically cabined exception to a general health
and safety rule. In other words, whatever breathing room
“require” might leave in other statutes and contexts, Congress’s
identification of the change in manufacturer as a specific
exception that warrants changing a drug’s labeling counsels
against the FDA’s and Teva’s “whatever we choose, consistent
with safety” reading. Rather than setting sameness as the
default, with an exception for necessary changes, the FDA and
21
Teva’s interpretation would set difference as the default, with
exceptions only (1) for formatting that the FDA mandated the
name brand to adopt, and (2) to avoid safety or efficacy
problems. “Congress * * * is unlikely to intend for an
exception to swallow the rule.” Calumet Shreveport Refin.,
145 S. Ct. at 1751.4
ii
The FDA’s and Teva’s remaining arguments do not
persuade.
First, the FDA and Teva insist that this court’s decision in
Bristol-Myers Squibb Co. v. Shalala, 91 F.3d 1493 (D.C. Cir.
1996) supports their atextual reading. Not at all.
In Bristol-Myers Squibb, this court held that the different-
manufacturer exception “accommodate[s] the situation in
which the generic drug manufacturer has sought * * * approval
for fewer than all of the indications of the pioneer
manufacturer’s drug[,]” and accordingly was allowed to omit
some indications from the label. 91 F.3d at 1500 (quotation
marks omitted). That holding, however, did not require this
court to interpret the scope of the different-manufacturer
exception. Instead, the decision rested on other statutory
4
The FDA notes that this court has declined to read “require”
as “connot[ing] the idea of compulsion.” FDA Br. 46 (alteration in
original) (quoting Railway Lab. Execs.’ Ass’n v. Railroad Ret.
Board, 749 F.2d 856, 861 (D.C. Cir. 1984)). Hardly. In that case,
we decided only that the phrase “required under the laws” was
ambiguous as to whether “the law” meant only “express provisions”
of law or also included laws “creat[ing] such a strong preference so
as to in effect compel” certain conduct. Id. A definition of “required”
as “merely permitted or requested” was not on the table. Id. at 861
n.8.
22
provisions that separately allow generic labels to list a subset
of the name-brand drug’s indications. See id. (Section
355(j)(2)(A)(i) “would be redundant if the same-label
requirement * * * applied to indications for use.”); id. (Section
355(j)(3) “lists the circumstances in which the Secretary may
disapprove an ANDA[,]” and the label’s failure to “list every
indication approved for the pioneer is not among these.”).
Even more to the point, the labeling change in that case
was required by the change in manufacturer. Because the FDA
had recently approved a supplemental indication for the name-
brand drug, the statute precluded any generic from carrying that
new indication on its labeling, 21 U.S.C. § 355(j)(4)(D)(iv).
See Bristol-Myers Squibb, 91 F.3d at 1496. As a result, the
generic manufacturer was legally required to remove that
indication from its label. The only question before this court
was whether the generic could enter the market at all with the
modified label.
Second, the FDA points to its own regulations and past
practice. No doubt an agency’s expert view and experience can
be “especially informative” when “it rests on factual premises
within [the agency’s] expertise.” Loper Bright, 144 S. Ct. at
2267 (quoting Bureau of Alcohol, Tobacco & Firearms v.
Federal Lab. Rels. Auth., 464 U.S. 89, 98 n.8 (1983)). But that
is not this case. The FDA has not shown that it brought any
source of expertise to bear in concluding that “required” means
“optional unless unsafe.”
FDA regulations, in fact, mirror the ordinary meaning of
required as something mandatory. For example, the different-
manufacturer regulation provides that labeling differences:
may include differences in expiration date,
formulation, bioavailability, or pharmacokinetics,
23
labeling revisions made to comply with current FDA
labeling guidelines or other guidance, or omission of
an indication or other aspect of labeling protected by
patent or accorded exclusivity under [the FDCA].
21 C.F.R. § 314.94(a)(8)(iv). Every item on that list is required
to be changed by the generic to accurately reflect a
characteristic of the underlying drug or otherwise to comply
with federal law.
The FDA’s past practice does not move the needle either.
The agency notes that it “routinely approves generic labeling
that differs from the name-brand drug’s routine color, font, and
formatting choices[,]” FDA Br. 38, and that it has approved a
“generic product that did not include halal and kosher
certifications in their labeling, where the [name-brand drug]
did.” FDA Br. 12. Some of those changes may have been
necessary—keeping a halal certification on a drug that does not
satisfy halal manufacturing standards might well constitute
prohibited mislabeling. See 21 U.S.C. § 352(a)(1). As for the
others, nothing in the FDA’s explanation casts expert light on
why a change in manufacturer mandates such changes.
Third, the FDA’s argument, at most, amounts to a policy
concern that “[a] narrow reading of the same-labeling
requirement would force generic manufacturers to copy every
minute aspect of a brand-name drug’s labeling, such as the
graphics included in the drug’s packaging, the font used for the
drug’s package insert, and the color of the drug’s container.”
FDA Br. 39. Or, as Teva puts it, “[i]t would be aberrant to read
the FDCA as permitting safe variation in a generic drug’s
substance, but not in its label.” Teva Br. 30 (quoting Vanda
Pharms., 766 F. Supp. 3d at 98).
24
Those concerns are unfounded. The FDCA does not
categorically prohibit “safe variation” in a generic drug’s label.
To the contrary, the exceptions in the same-labeling provision
permit labeling modifications that are necessary to ensure
accuracy concerning variations like changes to the inactive
ingredients or slig