Novo Nordisk et al. v. U.S. Department of Health & Human Services et al.

Docket No.
21-3168
Appellate Court
Third Circuit

Goal

  • Invalidate all or part of a federal regulation
  • Stop the government from enforcing the statute or regulation

Issues

Litigation Content

Why this Matters:


The plaintiffs argue that certain agency enforcement and regulatory actions requiring drug manufacturers to offer discounted prescription drugs to contract pharmacies under the 340B Drug Pricing Program violate the Administrative Procedure Act and the Takings Clause of the Fifth Amendment. The growth of the 340B program and practices by certain providers and contract pharmacies have raised concerns about oversight and abuse of the program—to the tune of billions of dollars.

Potential Impact:


Limiting the federal government’s ability to regulate drug manufacturers’ use of contract pharmacies would hamper efforts to combat abuse and ensure accountability under the 340B Drug Pricing Program would remove one avenue to combatting potential abuse of the program.