Since the federal Inflation Reduction Act (IRA) was enacted in 2022, we have been reporting on the campaign in the courts, being waged by “Big PhRMA” (Pharmaceutical Research and Manufacturers of America) to dismantle the CMS Drug Price Negotiation Program.
PhRMA’s arguments, including that the law violated the industry’s free speech and due process rights, have been largely unsuccessful, forcing the drug manufacturers to petition the U.S. Supreme Court to hear their arguments.
This past May, the Supreme Court refused to take up separate appeals brought by six drug manufacturers – AstraZeneca, Boehringer Ingelheim, Bristol Myers Squibb, Jansen, Novartis and Novo Nordisk. It means that the favorable decisions by the lower federal courts remain in full force and effect, allowing the Program to continue unabated.
According to Association Counsel Bill Rehrey, “This decision by the Supreme Court effectively closes off the industry’s best remaining path to dismantling the Program through the courts. This is a major victory for all who are seeking solutions to lower drug prices.”