The U.S. drug industry’s main lobbying group said it filed alawsuit challenging the constitutionality of a California law meant to make drug prices more transparent.
|The state law “attempts to dictate national health-care policyrelated to drug prices in violation of the United StatesConstitution,” the Pharmaceutical Research and Manufacturers ofAmerica said in a statement Friday.
|The California measure, signed in October by Governor Jerry Brown, isamong the most aggressive efforts by states to peel back thesecretive process of setting drug prices. The law requirespharmaceutical companies to notify insurers and government healthplans at least 60 days before a planned price increase of more than16 percent during a two-year period, and to explain the rationalefor the increase. The information would be available on agovernment website.
|In its statement, PhRMA said that the California law “singlesout drug manufacturers as the sole determinant of drug costs.”PhRMA and its drug company members have said that at least part ofthe blame lies with health insurers and pharmacy benefit managersthat negotiate -- often in secret -- prices and discounts fordrugs.
|A spokeswoman for California Attorney General Xavier Becerradeclined to comment on the lawsuit.
|Copyright 2018 Bloomberg. All rightsreserved. This material may not be published, broadcast, rewritten,or redistributed.
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