Maryland Law Designed To Curb Drug Price Gouging Dealt Fatal Blow As Supreme Court Refuses Case
The legislation had previously been ruled unconstitutional by an appeals court because it tried to regulate commerce beyond Maryland's borders. The law, which was enacted following several high-profile drug hikes, prohibited what it termed "unconscionable" price increases for essential drugs no longer covered by patents or generic drugs that are sold in the state.
Reuters:
U.S. Top Court Rejects Maryland Bid To Revive Drug Price-Gouging Law
The U.S. Supreme Court on Tuesday rejected Maryland's bid to revive a law aimed at preventing price gouging by pharmaceutical companies, dealing a setback to the power of states to rein in prescription drug costs. The justices declined to take up Maryland's appeal of a 2018 federal appeals court ruling that struck down the state's law, That ruling held that Maryland had regulated wholesale pricing by the companies in violation of the U.S. Constitution's bar on state-level regulation of interstate commerce. (Chung, 2/19)
Stat:
Supreme Court Deals A Fatal Blow To Maryland Drug 'Price Gouging' Law
The law, which the Maryland General Assembly passed in 2017, would have prohibited generic drug manufacturers from raising prices in a manner the state deemed “unconscionable.” It was nullified in April 2018, when an appeals court held it was unconstitutional because it regulated commerce beyond Maryland’s borders. The Supreme Court on Tuesday formally declined to hear the appeal from the state’s Democratic attorney general, Brian Frosh. (Facher, 2/19)
The Baltimore Sun:
U.S. Supreme Court Denies Maryland Bid To Revive Law Aimed At Preventing 'Monstrous' Generic Drug Price Increases
The court’s decision was a setback to new efforts by states to keep down the cost of medicines. The law briefly went into effect, starting in 2017, before the 4th U.S. Circuit Court of Appeals put it on hold with its decision in April 2018. The law was the first of its kind in the nation, although other states have considered similar measures. (Barker, 2/19)
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