US Chamber of Commerce Files Suit Over Upcoming Drug Pricing Negotiations

The second volley of legal challenges over upcoming Medicare drug pricing negotiations has been fired, this time by the US Chamber of Commerce. The chamber argues that the negotiations, brought on by the Inflation Reduction Act, would violate pharmaceutical companies’ due process rights by enforcing price limits. This suit follows one filed last week by Merck and Co.

According to Jonathan Stempel, “Both lawsuits contended that price controls would force drugmakers to pull back on developing new drugs, causing long-term harm to Americans and their health. Other drugmakers have also objected to the pricing program, which is part of last year’s Inflation Reduction Act. Pricing changes following negotiations on 10 costly drugs selected by CMS would take effect in 2026.”

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(Source: Reuters, June 9^th, 2023)