Pharma Prepares for Legal Battle Over US Drug Price Reform
May 10, 2023
As the upcoming Medicare drug pricing negotiations loom large over the industry, pharma companies are preparing to challenge the government in court. One sticking point for the companies is that they aren’t allowed to talk about negotiations, facing heavy fines for any infractions. Another issue is how drugs to be negotiated are chosen.
According to Patrick Wingrove and Michael Erman, “Six sources said factors involving whether a drug is considered eligible for negotiation may also contradict and unlawfully extend the law’s provisions. In particular, they said the definition of a single-source drug sets too high a bar on whether a drug has competition. Drug companies could file for emergency injunctions to delay government negotiations, according to one lawyer who represents multiple manufacturers. But lawsuits would represent more than just a delay tactic.”
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(Source: Reuters, May 9th, 2023)
