HB 2558 – Arizona

Status: In Process
Year Introduced: 2024
Link: https://apps.azleg.gov/BillStatus/BillOverview/80482?SessionId=128

The proposed bill introduces new legislation in Arizona concerning the regulation of prescription drugs, specifically targeting essential off-patent or generic drugs. It defines “essential off-patent or generic drugs” as those that have no exclusive marketing rights, are recognized by the World Health Organization or the U.S. Department of Health and Human Services as essential, are manufactured by three or fewer companies, and are available for sale in Arizona. The bill also defines “price gouging” as an unconscionable increase in the price of a prescription drug, with specific criteria for what constitutes an “unconscionable increase.” The bill prohibits manufacturers and wholesale distributors from engaging in price gouging of essential off-patent or generic drugs. It outlines the process by which the state medical assistance program can notify the attorney general of significant price increases, and it requires manufacturers to justify such increases. The attorney general is empowered to take legal action against violators, including restraining orders, financial restitution, and civil penalties. The bill also ensures the confidentiality of commercial information provided to the attorney general and clarifies that direct dealings with consumers in Arizona are not a necessary defense for those accused of violating the law.

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