Teva Pharmaceuticals USA, Inc. et al. v. Becerra et al.

Docket No.
1:25-cv-00113
District Court
District of Columbia

Goal

  • Declaration that CMS guidance is unlawful
  • Declaration that drug negotiation program is unconstitutional
  • Injunctive relief barring application of drug negotiation

Litigation Content

Why this Matters:

The plaintiffs argue that the Inflation Reduction Act’s Medicare drug negotiation process violates the Administrative Procedure Act and Due Process Clause of the Fifth Amendment. 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. 


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. 

1 Major Filings