Merck Restricts Purchases of 340B Drugs for 340B Hospitals Effective September 1st, 2021

On August 11, Merck issued a letter announcing its policy to stop “voluntarily” providing 340B discounts to 340B hospitals on drugs dispensed at contract pharmacies unless the hospital provides 340B contract pharmacy claims data through the 340B ESPTM  platform for both Medicaid and non-Medicaid claims.  Merck joins seven other drug manufacturers that have adopted similar policies based on their…

Indiana District Court Holds Important Hearing on HRSA’s Enforcement and Eli Lilly’s 340B Price Restrictions

On July 30, the U.S. District Court for the Southern District of Indiana held oral arguments in the case, Eli Lilly et al. v. Becerra et al., regarding the May 17 enforcement letter (“May 17 Letter”) that HRSA sent to Eli Lilly and other drug manufacturers informing them of HRSA’s formal determination that their actions to…

House of Representatives Approves Spanberger-McKinley Amendment Supporting HRSA Action Against Drug Manufacturer

On July 27, the U.S. House of Representatives approved an amendment to the House Appropriations Labor, Health and Human Services legislation that supports agency action against manufacturers that are not honoring contract pharmacy arrangements.  The amendment was approved as part of a funding package for the next fiscal year for many federal departments, including HHS.  The…