The AHA, 340B Health, America’s Essential Hospitals, Association of American Medical Colleges, and Children’s Hospital Association yesterday urged the U.S. Courts of Appeals for the 3rd and District of Columbia Circuits to require drug companies to fulfill their legal obligations to provide 340B discounted drugs to eligible hospitals and health systems, regardless of whether the drugs are dispensed on site or through contract pharmacies.  
  
After providing 340B discounts through both in-house and contract pharmacies since the beginning of the program, appellants and other major drug companies began to “substantially cut the 340B benefit to certain public and not-for-profit hospitals,” the organizations note in friend-of-the-court briefs filed in Sanofi-Aventis U.S. v. HHS et al.  and Novartis-United Therapeutics Corp. v. Johnson
  
More than half of 340B hospitals report they do not operate in-house retail pharmacies, and only one in five have their own specialty pharmacy, the briefs note, making contract pharmacies “a necessary and beneficial component of the 340B program.” 
  
The briefs go on to explain that the 340B program “cost the profitable drug companies a drop in the bucket, but provide an indispensable lifeline for 340B hospitals. That program is under attack by the highly profitable pharmaceutical industry. But neither the statute nor the drug companies’ mischaracterizations provide a basis to decimate the program as these companies are doing.” 

Related News Articles

Headline
In a letter submitted July 2 to the Centers for Medicare & Medicaid Services on guidance for the Medicare Drug Price Negotiation Program, the AHA expressed…
Headline
A Mississippi judge July 1 denied Novartis Pharmaceuticals’ and PhRMA’s request for a preliminary injunction against enforcement of state law protecting 340B…
Headline
The Supreme Court June 28 overturned a 1984 ruling in Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., which required courts to defer to…
Headline
The AHA, 340B Health, the Maryland Hospital Association and the Mid-Atlantic Association of Community Health Centers June 26 filed an amicus brief in a federal…
Headline
The Supreme Court June 27 dismissed a case about whether an Idaho law can coexist with the federal Emergency Medical Treatment and Active Labor Act (EMTALA),…
Headline
The U.S. Court of Appeals for the 5th Circuit June 21 partially affirmed the district court judgment that the Preventative Services Task Force charged with…