Supreme Court Will Hear PBM Case in April
Friday, February 28, 2020
From APhA website and NASPA website, accessed Feb. 24: The American Pharmacists Association (APhA), the National Community Pharmacists Associations (NCPA), Arkansas Pharmacists Association (APA), the National Alliance of State Pharmacy Associations (NASPA), and other pharmacy organizations have jointly submitted an amicus curiae brief to the Supreme Court in Rutledge v. the Pharmaceutical Care Management Association. The U.S. Supreme Court will hear the case on April 27.
In this case, the state of Arkansas will argue to allow the state to regulate pharmacy benefit managers (PBMs). The Pharmaceutical Care Management Association (PCMA) says that ERISA pre-exempts the PBM legislation passed in Arkansas. Similar legislation was heard in some lower courts, where it was ruled to be forbidden by federal law. If the Supreme Court rules in favor of Arkansas, states with PBM oversight laws similar to those of Arkansas would have clearer authority to regulate PBMs. This includes Minnesota. Read the full article from APhA.
“The PBMs have been hiding behind a vaguely worded section of a federal law that was never supposed to apply to them,” said B. Douglas Hoey, CEO of NCPA, which represents 21,000 locally owned pharmacies nationwide. “They operate without meaningful regulation, and because of that they’re able to stack the deck in their favor, and at the expense of community pharmacies and their patients.” Read the full article from NASPA.
Related: Read the Brief for Petitioner