Sixth Group of 340B Hospitals Sues HHS Over Medicare Drug Payment Cuts

Oschner Medical Center hospital complex
New Orleans-based Ochsner Medical Center and six other 340B hospitals have sued in federal court to force HHS to immediately remedy illegal Medicare Part B drug payment cuts in place since 2018.

Correction, Friday, Aug. 26, 2022, 3:00 p.m. EDT—The original version of this article mistakenly said the hospital plaintiffs’ complaint stated that HHS improperly based 2020 and 2021 Medicare Part B drug payment cuts for 340B hospitals on a survey of

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HHS Has ‘No Real Plan to Stop Underpaying’ 340B Hospitals’ Part B Claims, Groups Tell Court

Department of Health and Human Services building mounted sign
Hospital groups asked a federal district court to deny HHS's request to be allowed to craft its own plan to remedy unlawful Medicare Part B drug payments cuts to 340B hospitals since 2018.

Federal health officials should not be allowed to craft their own plan to remedy unlawful Medicare Part B drug payments cuts for 340B hospitals since 2018, as the government has not shown how it would stop future illegal payment cuts,

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Development May Expedite Ruling on Widely Watched State Law Intended to Require Rx Manufacturers to Provide 340B Discounts

USDC Little Rock courtroom interior
A federal court decision about the legality of an Arkansas law that requires drug makers to honor 340B contract pharmacy arrangements might come sooner than originally thought.

A federal district judge has accepted a plan that might speed up a decision in the drug industry’s lawsuit challenging an Arkansas law that requires drug makers to honor 340B contract pharmacy arrangements.

U.S. Senior District Judge Billy Roy Wilson

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Appeals Court Will Hear Oral Arguments in October in Novartis and United Therapeutics’ 340B Contract Pharmacy Suit

USCA DC courtroom interior
A federal appeals court will hear arguments Oct. 24 about Novartis and United Therapeutics’ conditions on 340B pricing when covered entities use contract pharmacies.

The U.S. government and drug makers Novartis and United Therapeutics’ cross-appeals in their 340B contract pharmacy legal dispute have been set for oral arguments in October, marking the first of the closely watched lawsuits to advance to oral arguments at

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Feds File Briefs in Response to AstraZeneca and Lilly Arguments in Key 340B Cases

AstraZeneca sign and building
The U.S. Justice Department recently responded to AstraZeneca and Lilly's arguments in lawsuits in federal circuit court over the two drug companies' denials of 340B pricing involving the contract pharmacy program.

The federal government during the past week filed responses to arguments that drug manufacturers AstraZeneca and Lilly made in federal appeals courts in their 340B contract pharmacy lawsuits.

“In enacting the 340B program, Congress was clear that drug manufacturers must

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Let Us Decide How to Remedy Illegal Drug Payment Cut for 340B Hospitals, HHS Asks Judge

Dept. of Health and Human Services sign and building
There were no adverse findings in nearly one quarter of provider audits conducted by HRSA, an agency within HHS.

Federal lawyers asked a judge on Friday to let federal health officials decide how to give 340B hospitals relief for illegal Medicare Part B drug payment cuts since 2018.

In papers filed in U.S. District Court for the District of Columbia

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340B Providers Won’t Share in $183 Million Damages Award Against Lilly for Misstating AMP

Lilly corporate center
A federal jury ordered Lilly to pay the federal and state governments millions of dollars for misstating its average manufacturer prices, but 340B providers will not get a share of the award.

A federal jury in Illinois last week ordered drug manufacturer Lilly to pay more than $61 million in damages for misstating its average manufacturer prices (AMP) and underpaying Medicaid drug rebates.  

AMP is a key component used to determine 340B

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HHS Tells Judge Unwinding Medicare Payment Cuts for 340B Drugs Needs Caution, Not Haste

USDC DC empty courtroom interior
HHS urged a federal district court in Washington, D.C., late last week not to order it to expedite a legal brief in the lawsuit over deep Medicare payment cuts for hospitals' 340B-purchased drugs.

The U.S. Health and Human Services Department (HHS) asked a federal district judge late last week not to make it rush its response to hospitals’ request for an immediate halt to a nearly 30% Medicare Part B payment cut in

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340B Hospitals Ask Judge to Stop Part B Drug Payment Cuts Immediately

hypodermic needle and glass ampule
Groups that represent 340B hospitals asked a federal district judge to immediately halt a nearly 30% Medicare Part B payment cut for hospitals’ 340B-purchased drugs.

Groups that represent 340B hospitals yesterday asked a federal district judge in Washington, D.C., to immediately halt a nearly 30% Medicare Part B payment cut in place since 2018 for hospitals’ 340B-purchased drugs.

American Hospital Association, America’s Essential Hospitals, Association

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News Alert

New York State Sues CVS for Allegedly Forcing 340B Entities to Use Third Party Administrator Wellpartner

CVS pharmacy retail store
New York State says in a lawsuit that CVS Health illegally forces 340B covered entities to use CVS's 340B TPA Wellpartner. CVS says the the state's claims lack merit and that it will defend itself.

New York State Attorney General Letitia James today sued CVS Health for allegedly forcing the state’s 340B covered entities to use CVS’s 340B third party administrator Wellpartner as a condition for letting the entities contract with CVS retail and specialty

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