Replies to post #247356 on Biotech Values

[DewDiligence]

More on MRK’s IRA lawsuit:

This is the weak link—from the US gov standpnt—in the IRA's drug-pricing scheme. CMS' excluding EVERY drug in a non-participating co's portfolio will induce the co to enter a financial agreemnt to offload legal ownershp of the "other" drugs. Courts will see this as an IRA defect. https://t.co/bXA5dlWPG6

— Roy Friedman (@DewDiligence) June 6, 2023

[DewDiligence]

Chamber of Commerce sues US over IRA drug-price “negotiation”:

https://www.wsj.com/articles/u-s-chamber-of-commerce-challenges-federal-governments-new-drug-price-negotiating-powers-fd792918

One of the country’s most powerful business groups is spearheading a new front in the pharmaceutical industry’s efforts to undo the U.S. government’s powers to negotiate drug prices.

On Friday, the U.S. Chamber of Commerce filed a lawsuit in U.S. District Court in Dayton, Ohio, arguing that the price-negotiation program is unconstitutional, violating due process and other protections. The lawsuit comes just days after pharmaceutical giant Merck & Co. filed a similar federal lawsuit on Tuesday [#msg-172068691].

…What may be the net result of the legal back-and-forth, lawyers and analysts say, is modifications to drug-price negotiation provisions that lessen the blow for drugmakers.

I’m not sure who, specifically, is making the assertion in the above paragraph. I doubt that any modifications to the IRA will occur without involvement by the US Supreme Court.

The basis of these lawsuits, and others sure to follow, is that the IRA-proscribed drug-price “negotiation” is no such thing.