Novartis Pharmaceuticals Corporation v. Kennedy et al.

Docket No.
24-2968
Appellate Court
Third Circuit

Goal

  • Block enforcement of a law
  • Block enforcement of an agency action
  • Declaration that a law is unlawful

Litigation Content

Why this Matters:

The plaintiff argues that the Inflation Reduction Act’s Medicare drug negotiation process violates the First Amendment, the Takings Clause of the Fifth Amendment, and the Eighth Amendment’s Excessive Fines Clause. Medicare’s authority to negotiate the price of certain single-source, high-priced drugs is estimated to result in substantial savings for Medicare beneficiaries and the federal government. This appeal addresses whether the district court erred in granting the defendants’ motion for summary judgement. 

Potential Impact:

Successful challenges to Medicare’s negotiation authority would negate savings to Medicare beneficiaries and taxpayers and could severely restrict federal regulatory authority in the health care arena. 

Litigation Information

Current Status

Decision issued