Washington Federal Judge Upholds 340B Drug Pricing Law Against Novartis, AbbVie Challenge

A Washington federal judge declined to block a state law expanding 340B drug pricing discounts, rejecting Novartis and AbbVie's arguments that it illegally adds to their obligations under the federal program aimed at protecting low-income patients.

A Washington federal judge has declined to block a state law designed to protect prescription drug access for low-income and uninsured patients. The ruling rejects arguments from pharmaceutical manufacturers Novartis and AbbVie that the measure illegally expands their obligations under the federal 340B Drug Pricing Program.

Washington had previously filed an objection in federal court to Novartis' attempt to block the law, arguing the drugmaker was not harmed by the state measure. The state told the court that the law expands the discounts drugmakers must provide under the federal 340B Drug Pricing Program, which serves low-income and uninsured patients.

In its challenge, Novartis and AbbVie contended that the new state law illegally adds to manufacturers' obligations under the federal program. The judge's decision allows the Washington state law to proceed, maintaining the expanded discount requirements for pharmaceutical companies participating in the 340B program.

The 340B Drug Pricing Program is a federal initiative that requires certain pharmaceutical manufacturers to provide outpatient drugs to eligible health care organizations at significantly reduced prices. Washington's state law sought to strengthen these provisions to better protect prescription drug access for vulnerable patient populations.

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  1. Novartis , AbbVie Lose Bid To Halt Wash. 340B Pharmacy Law - Law360 · law360.com
  2. Wash. Says Novartis Isn't Harmed By 340B Drug Pricing Law - Law360 Healthcare Authority · law360.com
  3. Teva Argues Novartis SPC Invalid With Looming Drug Launch - Law360 · law360.com