Arkansas Drug Pricing Law Will Get Supreme Court Review
Bloomberg Law Review
January 10, 2020
The U.S. Supreme Court will hear a case that could decide the validity of at least 38 states’ laws regulating how companies like Express Scripts and CVS Health make money off prescription drugs.
The justices agreed Jan. 10 to take a case asking whether an Arkansas law regulating pharmacy benefit managers is preempted by the federal Employee Retirement Income Security Act. The Pharmaceutical Care Management Association, a trade group representing PBMs, successfully challenged the law on ERISA preemption grounds in the Eighth Circuit.
The court’s decision to hear the case came at the urging of U.S. Solicitor General Noel J. Francisco, who argued that the Arkansas law doesn’t reference ERISA plans or have an impermissible connection with them.
Since January 1: