PhRMA v. Stolfi

Date Filed: December 9, 2019
Status: Pending
District Court: District Court of Oregon – No. 6:19-cv-01996
Nature of Suit: Pharma Legislation Challenge
Defendant Type: State
Plaintiff Type: Private

PhRMA is challenging Oregon’s drug price transparency laws HB 4005, 2018 (Disclosure Law) and HB 2658, 2019 (Advance Notification Law) alleging that the laws are unconstitutional because they violate the Commerce Clause, First Amendment, the Takings Clause, and trade secret protections.

The Disclosure Law, which went into effect at the beginning of 2019, required drug makers to notify the state and provide detailed information when list prices rise by at least 10% or a new medicine is introduced that costs more than $670 for a month’s supply. The Advance Notification Law, which had not gone into effect at the time of the complaint filing, would require drug makers to provide the government with any plans to hike list prices for any medicine where an increase will be at least 10% or $10,000 over the preceding year and then wait 60 days before implementing any increases.

The parties agreed to have the portion of the case focused on the Advance Notification Law stayed pending the resolution of PhRMA v. David. Upon the resolution of that case, the proceedings resumed and both parties have moved for partial summary judgment.

Read more on The Source Blog.

Associated Legislation:

HB 2658 – Oregon
Introduced:    Status: Enacted
Requires manufacturer of prescription drugs to report to Department of Consumer and Business Services planned increase in price of certain prescription drugs at least 60 days before date of increase. Provides exceptions.

HB 4005 – Oregon
Introduced:    Status: Enacted
RELATING TO THE PRICE OF PRESCRIPTION DRUGS: Requires prescription drug manufacturer to report annually information to Department of Consumer and Business Services regarding prices of prescription drugs and costs associated with developing and marketing prescription …

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