Bristol Myers Squibb has filed a lawsuit accusing the Biden administration of unlawfully stopping the corporate from utilizing rebates to pay hospitals that take part in a federal drug low cost program, the fourth massive pharmaceutical firm to aim a change in cost phrases in current weeks.
The drugmaker sought that transfer for its broadly prescribed Eliquis blood thinner, however the U.S. Division of Well being and Human Providers maintained such a change would violate federal regulation. The company just lately made the identical dedication in rejecting strikes by Johnson & Johnson and Eli Lilly to vary cost phrases, each of which filed lawsuits. Sanofi additionally needs to vary cost phrases, however has not filed a lawsuit.
In its lawsuit, Bristol argued that the 340B Drug Low cost Program is rife with waste and abuse. This system was created three many years in the past to assist hospitals and clinics look after low-income and rural sufferers. Drug firms that wish to participate in Medicare or Medicaid should provide their medicines at a reduction — usually, 25% to 50%, however typically greater — to collaborating hospitals and clinics.
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