> When a drug patent expires the company will sometimes pay generic manufacturers to not manufacture the drug for a period of time.

Which seems like a clear and direct consumer harm. So isn't that illegal, even under the strictest definition?

Yes, they often are found illegal by courts:

>Since 2001, the FTC has filed a number of lawsuits to stop these deals, and it supports legislation to end such “pay-for-delay” settlements.[1]

The FTC lists 4 cases since 2019, but there seems to have been a bunch more prior to 2019 that only have press releases[2]

[1] https://www.ftc.gov/news-events/topics/competition-enforceme...

[2] https://www.ftc.gov/news-events/press-releases/terms/935

Welcome to reality: many corporations break a lot of laws, few are prosecuted.

Actually lots are prosecuted: https://www.ftc.gov/news-events/press-releases/terms/935?pag...